Formal Rulings

A Formal Ruling may provide general guidance to the public, but is binding only for the requesting taxpayer, and is limited to the facts as presented and the law in effect at the time of the ruling.

No. Subject category
2019-05 Claimant for property tax relief or renter rebate must be income-eligible, determined by level of Household Income (HHI). HHI excludes State payments for foster care, adult foster care, or care of a family member with a developmental disability.  Payments received for respite care were not covered by that exclusion. Property tax adjustment, renter rebate; calculation of Household Income; payments for respite care 
2019-04 Audio fitness classes which may be streamed or downloaded are subject to sales tax as “specified digital products” or as “access to audio programming systems.”  Charges are sourced to the customer’s state of residence. Sales tax; sales of subscriptions for audio-only computer fitness classes
2019-03 Cannot be successfully redacted.  
2019-02 Motor vehicle lease agreement requires, in case of total loss of vehicle, that lessee pays remaining lease payments and lessor transfers vehicle to lessee.  Transfer is not subject to sales tax, which exempts motor vehicle transfers.  It may be subject to motor vehicle purchase and use tax, administered by Department of Motor Vehicles. Sales and use tax; transfer of totally destroyed motor vehicle to lessee
2019-01 Sales and use tax nexus is created when an out-of-state vendor makes sales into Vermont of at least $100,000 or 200 sales, including nontaxable sales.  If out-of-state vendor’s sales do not exceed the nexus threshold, the vendor is not required to register for sales and use tax or meals tax or to file returns reporting $0 tax. Sales and use tax, meals tax; sales of prepackaged snack food by out-of-state vendor
2018-08 A retailer with a Vermont store who also operates a New Hampshire store must collect Vermont use tax at the New Hampshire location for sales or rentals of taxable items which are to be delivered to a Vermont location or which show a Vermont address for the renter on the rental contract. Sales and use tax; collection by New Hampshire location of Vermont business
2018-07 No redacted version for publication.  
2018-06 Sales of blood glucose testing meters and lancing devices used to obtain blood for use in the testing meter both qualify as durable medical equipment, exempt from sales and use tax.  Blood testing strips used with the testing meters and lances used with the lancing device qualify as medical supplies, exempt from sales and use tax.

 

The portion of Formal Ruling 2004-03 pertaining to sales tax on lancets is withdrawn.

 

Sales and Use Tax; Medical Equipment and Supplies Exemptions
2018-05 The property transfer tax and land gains tax exemptions available to an entity which has qualified for Federal tax-exempt status under Internal Revenue Code Section 501(c)(3) are only available if the entity has acquired Federal designation as a qualified 501(c)(3); the Commissioner has no authorization to determine whether an entity is qualified under 501(c)(3). Property Transfer Tax, Land Gains Tax; Exemption for 501(c)(3) Entity
2018-04 Solar energy storage batteries are not manufacturing equipment, because they do not generate energy, but merely store it.  Purchase of the storage batteries by an electric generating business is therefore not exempt from sales tax as manufacturing machinery and equipment. Sales Tax; Solar Energy Storage Batteries
2018-03 Property received by the remainderman from the mother’s trust created by her will has a holding period for capital gain purposes which began at the time of creation of the remainder interest - that is, at the time of the mother’s death. Income Tax; Capital Gain Treatment
2018-02 The Federal solar-energy income tax credit does not pass through to Vermont corporate income tax. Corporate Income Tax; Solar Energy Tax
2018-01  No Formal Ruling was issued.  
2017-07 Applicability of Sales and Use Tax to Charges for Online Product Sales and Use Tax
2017-05 Applicability of Sales and Use Tax to Its Sales of Food Product Sales and Use Tax
2017-03 Applicability of Sales and Use Tax to Seven Types of Items Used In A Medical Practice Sales and Use Tax
2017-02 Application of Sales Tax to Return Shipping Fees Sales and Use Tax
2016-15 Applicability of Sales Tax to the portion of the retail tire price which represents the Federal Excise Tax on tires Sales and Use Tax
2016-14 Applicability of Sales Tax to sales of certain medical equipment, parts and related items Sales and Use Tax
2016-13 Applicability of Sales Tax to leases of photocopy machines and printers to its customers Sales and Use Tax
2016-12 Applicability of Sales Tax to your sales of custom signs Sales and Use Tax
2016-11 Applicability of Property Transfer Tax to two transactions Property Transfer Tax
2016-08 Applicability of Sales Tax to charges for instruction Sales and Use Tax
2016-06 Applicability of Property Transfer Tax to a purchase of property by a church which is eligible for nonprofit status under Federal tax law Property Transfer Tax
2016-05 Applicability of Property Transfer Tax to its proposed acquisition of real property Property Transfer Tax
2016-04 Method of invoicing when Sales Tax is involved Sales and Use Tax
2016-03 Applicability of Sales and Use Tax to mobile, point-of-sale, electronic devices Sales and Use Tax
2016-02 Applicability of Sales Tax to your sales in Vermont of your product Sales and Use Tax
2016-01 Applicability of Sales and Use Tax to your product Sales and Use Tax

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