The Vermont Statutes Online

Title 32: Taxation and Finance

Chapter 151: INCOME TAXES

Sub-Chapter 011E: Economic Advancement Tax Incentives

32 V.S.A. § 5930g. Capital investment tax credit



[Section 5930g repealed effective January 1, 2017, see note set out below.]§ 5930g. Capital investment tax credit

A person, upon obtaining the approval of the Vermont Economic Progress Council under section 5930a of this title, may receive a credit against its income taxes imposed by this chapter in an amount equal to five to 10 percent of its total investments within the State of Vermont in plants or facilities and machinery and equipment in the applicable tax year, but only if those investments exceed $150,000.00, according to the following:

(1) A person employing fewer than 150 full-time employees that has obtained the approval of the Vermont Economic Progress Council may receive an income tax credit equal to 10 percent of its investments in plants or facilities and machinery and equipment in the applicable tax year.

(2) A person employing between 150 and 250 full-time employees that has obtained the approval of the Vermont Economic Progress Council may receive an income tax credit of six to nine percent of its investments in plants or facilities and machinery and equipment in the applicable tax year based on the following proportional sliding scale:

(A) a nine percent tax credit for 150-174 full-time employees;

(B) a eight percent tax credit for 175-199 full-time employees;

(C) a seven percent tax credit for 200-224 full-time employees; and

(D) a six percent tax credit for 225-250 full-time employees.

(3) A person employing more than 250 full-time employees that has obtained the approval of the Vermont Economic Progress Council may receive an income tax credit equal to five percent of its investments in plants or facilities and machinery and equipment in the applicable tax year.

(4) A person is not required to acquire an ownership interest with its investment to be eligible to receive an income tax credit under this section, provided the Vermont Economic Progress Council has approved a long-term capital lease as an investment eligible to receive an income tax credit, and the person's investment has been made in the form of a long-term capital lease that meets the lease accounting criteria established by Financial Accounting Standard No. 13 as promulgated by the Financial Accounting Standards Board. The person's investment shall be the present value, at the time the lease is executed, of the minimum lease payments over the period of the lease, excluding executory costs, as outlined in the Financial Accounting Standard No. 13. (Added 1997, No. 71 (Adj. Sess.), § 48, eff. March 11, 1998; amended 1999, No. 159 (Adj. Sess.), § 13, eff. May 29, 2000; 2001, No. 138 (Adj. Sess.), § 7, eff. June 21, 2002; 2003, No. 67, § 20; 2005, No. 184 (Adj. Sess.), § 4, eff. Jan. 1, 2017.)