Bill > H0621

This bill proposes to amend Vermont's personal income tax law by creating new, higher income tax brackets for individuals, married couples filing jointly, heads of households, unmarried individuals, and married individuals filing separately, as well as for estates and trusts. These changes adjust the income thresholds and tax rates for various income levels, effectively introducing two new tax brackets with higher rates of 11.75% and 13.75% for the highest earners, and also modifies the inflation adjustment for these brackets to begin in taxable year 2026. The bill also specifies that these changes will take effect retroactively on January 1, 2026, and apply to all taxable years beginning on or after that date.