Vermont Department of Taxes

NEWSLETTER

WINTER 2026

Tax Year 2025 Forms and Instructions

The 2025 tax season officially opened on Jan. 26, 2026, when the IRS and the Vermont Department of Taxes began accepting personal income tax returns for tax year 2025. Tax Year 2025 Forms and Instructions are available for download on our website.

Reminders from Taxpayer Services

Please do not amend 2022-2024 tax returns based on the H.R. 1 Reconciliation Bill (also known as OBBBA or OB3). Original 2024 extended returns must conform with the Internal Revenue Code as of December 31, 2024.
Where possible, please encourage your clients to file electronically and provide ACH banking information. This prevents postal delays in check delivery.

Business Income Tax Form Set
Winter Seminars

Thank you to everyone who participated in the Business Income Tax Form Set Winter Seminars this January.

Department specialists John Gortakowski, Tax Policy Analyst, and John Demeter, Assistant Director of Taxpayer Services, provided an in-depth discussion of Vermont pass-through reporting and the purpose, structure, and mechanics of Schedules BI-477 and K-1VT and Form BI-476 as updated for Tax Year 2025. Videos of the sessions are now available!

We hope to hold similar free online seminars on high interest topics in Winter 2027.

john gortakowski and john demeter sit with their laptops, presenting

Session 1 (Video 1:41:00):

Introduction, Background, and Context
Schedule BI-477

Session 2 (Video 1:38:00):

Form BI-476
Schedule K-1VT
Explanations of apportionable vs. non-apportionable
OBBBA conformity and retroactive provisions

2026 Business Income Tax Form Set FAQs

FAQs for Small to Mid-size Businesses with Only Vermont Resident Owners

Section 1: Choosing and Filing the Correct Business Entity Income Tax Form(s)

Section 2: Vermont Adjustments on Form BI-476

FAQs for Business with Non-Vermont Resident Owners or that choose to file BI-471

Section 1: Schedules BI-472 and BI-473 – Vermont Non-Composite and Composite Schedules

Section 2: Schedule BI-477 - Vermont Income Adjustment Calculation: Pass-Through Nonresident

Part A: General Questions and Calculations Summary

Part B: Schedule BI-477 and Small Businesses

Part C: Apportionable and Non-Apportionable Income

Part D: Reporting Vermont Additions and Subtractions

Part E: Complex Structures

Part F: Required Workpapers

Section 3: Schedule K-1VT - Shareholder, Partner, or Member Information

Part A: General Questions

Part B: Part B: Schedule K-1VT and Small Businesses

Part C: Schedule K-1VT and Nonresident Owners

Part D: Schedule K-1VT and Complex Business Structures

Join Our Dynamic Tax Team

The Vermont Department of Taxes seeks talented individuals to join our team. Go to tax.vermont.gov/careers to view our current openings!

Current Openings:

Apply Today!

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