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Vermont tax tidbit: renter rebate credit

Vermont flag Homeowners get lots of tax breaks, but Vermont also offers renters a tax credit for their housing payments.

Eligible renters can get a portion of rent paid that exceeds, depending on your income, 2 percent, 4.5 percent or 5 percent of that earnings amount. The maximum rebate is $8,000.

To qualify for the Renter Rebate Program you must meet all of the following requirements:

  • You were a legal resident of Vermont for the entire calendar.  
  • You were not claimed as a dependent of another taxpayer. 
  • Your household income did not exceed $47,000. 
  • You are the only person in the household making a renter rebate claim. 
  • You rented for all 12 months of the tax year. 

There is one exception to the full-year rental requirement. If you owned a Vermont home but sold it before April 1 and were a renter on Dec. 31, you may be eligible for the rebate as long as your income does not exceed the program's limit. 

You can file the renter rebate claim with your state income tax return (IN-111, line 31d), but you don't have to. You can file it separately with Form PR-141 as late as Sept. 1.

Tax trip around the United States: This post is part of our series highlighting tax information from the 50 U.S. states and Washington, D.C. You can read other state tax blurbs at our Complete menu of tasty state tax tidbits.

The State Tax Departments page provides links to official state and District of Columbia revenue Web sites so that you can find out more about your home's tax laws and filing requirements.

As we work through the 2010 tax season, a different state will be featured each day as noted in Don't forget your state taxes! Check back to see what tax tidbit we share about your home.

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Comments

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Amy

How long does it usually take the check to come once its been processed? My husband called on Thursday and the lady said, "It was processed yesterday." Just curious, thanks!

judith d. sawyer

the renters rebate check usally is received within 2-3 weeks after mailing and this year it is already 4or 5 weeks and still no check. what is the holdup?

Jackie

What is the definition of Legal Resident? Does a student attending college in Vermont and living off campus paying rent on private propery qualify if the parents do not claim him in their tax return?

Amanda

what if there was a move within a tax year?

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