Vermont Real Estate Transfer Tax
Figures verified November 12, 2026 against Vermont Department of Taxes, property transfer tax · Update log
Short answer
Vermont's property transfer tax is 0.5% on the first $200,000 of a main home, then 1.47%; 3.62% on second homes. The buyer pays the property transfer tax and the clean water surcharge and files the return. On a $500,000 home, it comes to about $5,410.
Free calculator
Vermont transfer tax calculator
Enter the sale price to see each tax, who pays it, and the total. Amounts like 650k or 2.5m work.
Vermont charges more when the buyer won't live in the home.
Vermont
Transfer tax: $5,410 (1.08% of the price)
- Property transfer tax + clean water surchargeBuyer. 0.5% on the first $200,000 of a buyer's main home, then 1.25% plus the 0.22% surcharge.$5,410
- Seller pays
- $0
- Buyer pays
- $5,410
Giving the house to an heir instead of selling it? Usually no tax, because no price is paid, but check first. How it works in Vermont
An estimate from the rates on our Vermont page. The title company or closing attorney works out the final figure; recording fees and the agent's commission aren't included.
Vermont transfer tax rates
| Tax | Rate | Who pays |
|---|---|---|
| Property transfer tax + clean water surchargeFor homes, unless the buyer won't live in the home | 0.5% on the first $200,000; 1.47% above $200,000 | Buyer |
| Property transfer tax + clean water surchargeFor homes, when the buyer won't live there | 3.62% | Buyer |
| Property transfer tax + clean water surchargeFor land and commercial property | 1.47% | Buyer |
Who pays the transfer tax in Vermont?
The buyer pays the property transfer tax and the clean water surcharge and files the return.
Whatever the custom, the purchase contract can shift the tax to the other side, so check it before you agree a price. The closing agent collects the tax from the sale money and pays it when the deed is recorded.
Selling an inherited house in Vermont
An inherited house reaches the heirs in one of three ways, and the transfer tax depends on which:
- The executor deeds the house to the heirs. Vermont taxes the value of property transferred, so check the exemption list (32 V.S.A. § 9603) with the town clerk before recording an executor's deed to an heir.
- The house passes outside probate, to a surviving joint owner or under a transfer-on-death deed. There is no sale and no new deed from the estate, so no transfer tax; the new owner records a death certificate or affidavit.
- The executor sells the house. When the executor sells the house to an outside buyer, the transfer tax is due as on any sale. The estate pays the seller's share out of the sale proceeds, and the closing agent usually collects it.
The heirs or the estate also owe income tax only on any rise in value after the death, because the house gets a stepped-up basis. The seller's transfer tax counts as a selling expense and lowers that gain. See what's left for each heir in the inherited house net proceeds calculator.
Vermont also has an estate tax on large estates, separate from the transfer tax. See Vermont estate tax.
Forms, deadline and other rules
- Form: Property transfer tax return (filed online through myVTax).
- When it's paid: Within 30 days of the transfer.
- The 3.4% rate on second homes and short-term rentals was set by Act 181 of 2024 and amended by Act 164 of 2026.
Optional: get help filing
Get a flat-fee quote for the estate's tax returns
The final Form 1040, the estate's Form 1041 and any state return are the parts executors most often hand off. Leave your email and the rough estate size, and a CPA or Enrolled Agent who prepares estate returns will reply with a fixed price. Free, and no obligation.
Transfer taxes in other states
Alabama · Alaska · Arizona · Arkansas · California · Colorado · Connecticut · Delaware · District of Columbia · Florida · Georgia · Hawaii · Idaho · Illinois · Indiana · Iowa · Kansas · Kentucky · Louisiana · Maine · Maryland · Massachusetts · Michigan · Minnesota · Mississippi · Missouri · Montana · Nebraska · Nevada · New Hampshire · New Jersey · New Mexico · New York · North Carolina · North Dakota · Ohio · Oklahoma · Oregon · Pennsylvania · Rhode Island · South Carolina · South Dakota · Tennessee · Texas · Utah · Virginia · Washington · West Virginia · Wisconsin · Wyoming
Or compare them all in the 50-state table.
Frequently asked questions
How much is the transfer tax in Vermont?
Property transfer tax: 0.5% on the first $200,000 of a main home, then 1.47%; 3.62% on second homes. On a $500,000 home, that comes to about $5,410 in total.
Who pays the transfer tax in Vermont, the buyer or the seller?
The buyer pays the property transfer tax and the clean water surcharge and files the return.
Do you pay transfer tax when you inherit a house in Vermont?
Vermont taxes the value of property transferred, so check the exemption list (32 V.S.A. § 9603) with the town clerk before recording an executor's deed to an heir.
Does an estate pay transfer tax when it sells a house in Vermont?
When the executor sells the house to an outside buyer, the transfer tax is due as on any sale. The estate pays the seller's share out of the sale proceeds, and the closing agent usually collects it.
Is transfer tax deductible?
Not as a tax deduction, but the seller's share counts as a selling expense: it lowers the amount realized, and so the taxable gain on the sale. The buyer's share is added to the buyer's cost basis.
Sources
This information is provided for educational purposes only and should not be considered legal or tax advice. Consult a qualified tax professional for guidance specific to your situation.