MeF Filing of Tax Returns for Individuals, Corporate and Business Income Taxes, and Fiduciary Taxes
Here is detailed information for tax professionals when filing and paying your clients' taxes using the Vermont-IRS Modernized e-File (MeF) system.
Vermont tax returns for individuals, corporate and business income, and fiduciary should be filed electronically using the software of Vermont-certified e-file commercial vendors, although paper filing is an option. Vermont participates in the IRS electronic filing program. The Vermont-IRS Modernized e-File (MeF) system program works best when the federal and state returns are filed together in one transmission to the IRS. The state return is available to Vermont after the IRS accepts the federal return.
What are the tax filing procedures for authorized Electronic Return Originators (EROs) of Vermont tax returns?
The general filing procedures for electronic tax returns are as follows:
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Use tax preparation software approved for use in the Federal/State Electronic Filing Program and Vermont-approved software
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Use the most current version of a vendor's software
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Comply with all requirements and specifications contained in the Vermont MeF E-File Handbooks
Multiple versions of these documents may be used simultaneously throughout the year. This is why special attention should be paid to the release memo issue date and the projected start and end dates.
Tax Year 2023
| Type | Release Date |
|---|---|
| Handbook on Corporate & Business Income Tax Modernized e-File (MeF) for Tax Year 2023 | October 30, 2023 |
| Handbook on Fiduciary Income Tax Modernized e-File (MeF) for Tax Year 2023 | October 30, 2023 |
| Handbook on Individual Income Tax Modernized e-File (MeF) for Tax Year 2023 | November 21, 2023 |
How Vermont Certifies Vendors of E-Filing Software and Paper Tax Forms
Vermont certifies vendors of both electronic software and paper tax forms. In accordance with the National Association of Computer Tax Processors Tax Form Design Standards and Guidelines, tax departments are instructed to limit form approval to the appearance of the form, data placement and formatting, and the department's ability to process the form. Checking the accuracy of data calculation is not a part of the form approval process.
| Type | Release Date |
|---|---|
| Tax Year 2023 Filing Season Certified E-File Vendors | March 19, 2024 |
| Tax Year 2023 Filing Season Certified Vendors for Paper Filing | March 19, 2024 |
Procedure for Reporting Known Tax Preparation Software Errors
Tax practitioners sometimes discover errors in tax preparation software. The Vermont Department of Taxes cannot require a vendor to fix a software error. The department's practice, however, is to communicate processing errors to vendors and inform the tax practitioner community of patches that fix those errors. Follow these steps to stay current with known tax preparation software errors:
Report the Error
If you notice an error, please report it to your software vendor. Your vendor may already be aware of the issue and is working on a correction. You may also report errors to the Vermont Department of Taxes. Software issues may be reported to the department by:
- Telephone: (802) 828-2865
- Fax: (802) 828-2720
- Email: tax.Individualincome@vermont.gov
Download the Software Patch
Please download software patches where the vendor has fixed the error. A software vendor often patches a known problem, and this solution is only effective if the software user downloads it.
Information for Vendors
If your company is interested in participating in Vermont, please complete the Request for Participation in Electronic Filing and/or Creation of Substitute Tax Forms with Vermont (pdf) application. Formatting specifications for sales tax, meals tax, and withholding returns are available upon request to software vendors and payroll companies with valid 4-digit NACTP ID numbers.