During the legislative session, law was passed to create a “Clean Water Surcharge” on all property transfers. The revenue that will be generated by the surcharge will be deposited in the “Clean Water Fund” to help clean the bodies of water throughout the State of Vermont.

This charge is an increase of 0.2% on the value of property subject to the property transfer tax.  The current rate is 1.25% and combined with the surcharge, will now total 1.45%.  Some special rates do apply for some transfers and the information fact sheet attached will illustrate who the special rates will be applicable for. The surcharge is scheduled to sunset on 7/01/2018.

As of Wednesday, June 17th, all closings on or after this date, will have a total surcharge for the property transfer tax at a rate of 1.45%.

The Department of Taxes has issued a new updated property transfer tax return (Form PT-172) that includes the Clean Water Surcharge.

Click here for the information Fact Sheet.