Vermont Sales Tax Holiday Tips From PF+C’s Christopher Leff

In advance of the Vermont Sales Tax Holiday on July 12 and 13 and the Energy Star Appliance Tax Holiday running from July 12 to 18, Mr. Leff  wanted to pass along the following pointers:

1. The general sales tax holiday applies to all purchases for personal use (not business use) of items of tangible personal property costing less than $2,000 each if they are subject to sales tax (i.e. not food, beverages other than beer and wine, cars, etc.).  You don't pay either the state sales tax or the local option sales tax on purchases to which the tax holiday applies.

2. Since the tax holiday applies only on specific dates, the time of the sale becomes important.  If the tax holiday works, shoppers will be out in droves on the weekend of July 12-13.  If you are waiting to purchase a specific item you've had your eye on, one way to make sure you get what you want and still pay no sales tax is to see if the merchant will allow you to put down a deposit to reserve the item.  The Tax Department's rules say that the tax holiday will apply to the purchase if you do both of the following:  (1) you make the final payment during the tax holiday and (2) you take possession of the item during the tax holiday.

3. If you are not able to reserve your purchase ahead of time and you arrive at the store to find they don't have the item you want in stock, you can still benefit from the tax holiday if you do both of the following:  (1) place an order for the item during the tax holiday and (2) pay for the item in full during the tax holiday.  If you do that, the tax holiday will apply to the purchase even though the item is delivered after the tax holiday is over.  This rule also applies to items that can only be purchased by special order.

Get more information from the Vermont Department of Taxes.