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Vermont · How-To Guide

How do I get a business license?

Vermont Secretary of State, Corporations Division (entity formation) / Vermont Department of Taxes (tax registration) / Local municipality (local licenses - if applicable)
Step by Step

How to do it

  1. Determine your business structure: sole proprietor, LLC, corporation, partnership
  2. Register your business entity with the Vermont Secretary of State (for LLCs, corporations, LPs, etc.) - file online at bizfilings.vermont.gov (Vermont's business filing portal); Vermont offers online filing
  3. Obtain an EIN from the IRS at irs.gov
  4. Register with the Vermont Department of Taxes for applicable state taxes at myvtax.vermont.gov (myVTax portal):
  5. - Vermont Sales Tax Permit (if selling taxable goods/services): free; apply online at myvtax.vermont.gov
  6. - Vermont Withholding Account (if hiring employees)
  7. - Vermont Income Tax - Vermont has no exemption from income tax for most pass-through entities; LLC and S-Corp income flows to owners and is taxed at VT individual income tax rates
  8. - Vermont Corporate Income Tax (for C-corps)
  9. Local Business License: Vermont municipalities each independently determine whether to require local business licenses; some VT cities (Burlington, Montpelier, Rutland, etc.) may have local licensing requirements; contact your specific city or town for local requirements; there is no universal statewide requirement
  10. Check for industry-specific state licenses: contractors (Vermont Occupational and Employment Training Division; also Vermont Department of Labor); healthcare professionals, real estate, cosmetologists through the Vermont Secretary of State's Office of Professional Regulation (OPR - sos.vermont.gov/professional-regulation); alcohol/beverage licenses through Vermont Department of Liquor and Lottery
  11. Renew entity annual report with VT SOS; renew local licenses; renew professional licenses per OPR schedule
Details

What you need to know

Required Docs
  • Business name and type of activity
  • Vermont business address and registered agent in Vermont
  • Entity formation documents
  • EIN or SSN
  • Industry-specific certifications
Fee
LLC formation: $125 (online); corporation: $125 (online); ANNUAL REPORT: $35 (LLC - low); corporation annual report: $45; Sales Tax Permit: free; local license: varies by municipality; professional license: per OPR board RENEWAL: Annual report due between January 1 and March 31 each year; local license: annual per municipality; professional licenses: per OPR board ONLINE OPTION: Yes - bizfilings.vermont.gov (entity formation and annual reports); myvtax.vermont.gov (tax registration); sos.vermont.gov (SOS business services) WHERE TO GO: VT Secretary of State (entity formation); VT Department of Taxes (tax registration); City/Town (local license); VT SOS Office of Professional Regulation (professional licenses)
Online Option
Yes - bizfilings.vermont.gov (entity formation and annual reports); myvtax.vermont.gov (tax registration); sos.vermont.gov (SOS business services)
Where to Go
VT Secretary of State (entity formation); VT Department of Taxes (tax registration); City/Town (local license); VT SOS Office of Professional Regulation (professional licenses)
Vermont Notes

Important state-specific details

  • VERMONT LLC FORMATION: $125 - moderate nationally.
  • ANNUAL REPORT: $35 (LLC) - low nationally; due January 1 to March 31 each year.
  • VERMONT INCOME TAX: Vermont has graduated income tax rates (3.35% to 8.75%); applies to pass-through LLC income; also a corporate income tax up to 8.5%; Vermont is one of the higher income-tax states.
  • VERMONT SALES TAX: 6% state rate; some municipalities add local option taxes; food (in most forms) is exempt; clothing is exempt.
  • NO GENERAL CONTRACTOR LICENSE: Vermont does not have a comprehensive state general contractor license; specific trade licenses (electrical, plumbing, etc.) required through respective state agencies; verify with Vermont Department of Labor.
  • OPR (Office of Professional Regulation): handles most Vermont professional and occupational licenses; sos.vermont.gov/professional-regulation.
Official Source

State office contact

State Office
VT Secretary of State, Business Services - sos.vermont.gov | bizfilings.vermont.gov | (802) 828-2386; VT Department of Taxes - tax.vermont.gov | myvtax.vermont.gov | (802) 828-2865; OPR (professional licenses) - sos.vermont.gov/professional-regulation | (802) 828-1505