Plan would overhaul Vermont school taxes, add new income tax
MONTPELIER - House lawmakers are considering a major change to Vermont's education tax system, including a new education income tax and other changes designed to make a stronger link between voters' school budget decisions and their wallets.
Rep. Janet Ancel, D-Calais, who is leading the effort as chairwoman of the House Ways and Means Committee, has said her goal is to make the often-confusing tax formula "more fair, simpler to understand, more direct."
The plan would set up a hybrid school tax system using a lower homestead education property tax rate and a new education income tax. Non-residential property taxes would remain unchanged.
The new income tax rate would increase with adjusted gross income, replacing the current system of an income sensitivity on Vermonters' property tax bills. Lawmakers have yet to settle on tax brackets or rates, but a recent document uses rates from 0 to 1.70 percent as "placeholders."
Read more: http://www.burlingtonfreepress.com/story/news/politics/government/2018/02/02/plan-would-overhaul-vt-school-taxes-including-new-income-tax-erhaul-would-pair-reduced-property-tax/1082429001/
