Appendix 3

Table 1

VERMONT SALES & USE TAX RATES

Major Tax Law Changes

Year

Rate

Notes

1933

1-4%

Gross retail sales tax

1935

0%

Gross retail sales tax ruled unconstitutional and repealed

1969

3%

Sales rebates enacted

1982

4%


1983


Expanded sales rebate program

1991

5%

(4% to become effective 7/1/93) Tax extended to wine and tobacco products

7/1/93-9/1/93

4%


9/1/93-6/30/95

5%


1994


Repealed sales rebate program (effective tax year 1994)

1995


5% extended to 6/30/96

1996

5%

5% extended to 6/30/97 (Tax on energy used in manufacturing sunset from 2% to 0% on 7/1/96)