Property tax relief for seniors in Vermont

The two programs at a glance

These amounts are for claims filed in 2026, based on 2025 income. New limits come out each year.

Property Tax Credit (homeowners)

Who qualifies

You must meet all of these:

• Homestead. Your home qualifies as a homestead and you filed a Homestead Declaration for this year.
• Lived in Vermont all year. You were domiciled in Vermont for the whole year before.
• Not a dependent. No one else claimed you as a dependent.
• Owned and lived there on April 1. You owned the home and lived in it as your homestead on April 1.
• Income. Your household income was $115,400 or less.

If you rented out your home on April 1, you may still qualify if it was not rented for more than 182 days in the year.

What counts as household income

Household income is broader than the income on your tax return. It includes:

• Income of everyone who lived in your home during the year, including children.
• Both taxable and nontaxable income, such as Social Security, veterans' benefits, some nontaxable pensions and support money.
• Your spouse's or civil union partner's income, even if they do not live with you.

There are three exceptions for a spouse who does not live with you: your spouse is 62 or older and lives permanently in a nursing home or care facility with no reasonable chance of coming home; you are legally separated or divorced by a judge's signed order; or a protective order was in place before you filed. Schedule HI-144 walks you through the full list.

What it pays

The credit lowers your property tax bill. It is split into two parts: one on the state education tax (up to $5,600) and one on the town (municipal) tax (up to $2,400). The amount depends on your income and your housesite taxes. The Department of Taxes has a calculator on its Property Tax Credit page.

How to file

1. Gather your tax bill. You need your SPAN (School Property Account Number), housesite value, housesite education tax and housesite municipal tax. They are on your property tax bill.
2. Fill out Form HS-122. Section A is the Homestead Declaration. Section B is the Property Tax Credit Claim.
3. Fill out Schedule HI-144 for household income.
4. File. Online at myvtax.vermont.gov, by itself or with your Vermont income tax return. Or mail paper forms to Vermont Department of Taxes, P.O. Box 1645, Montpelier, VT 05601-1645.

Deadlines

• April 15 is the normal due date for the claim and the Homestead Declaration.
• File the Homestead Declaration on time even if you get an income tax extension. Your town can charge a penalty on a late declaration.
• Late claims. The Department's fact sheet says claims generally cannot be accepted after October 15. Its web page says that if you file the Homestead Declaration by October 15, you may file the credit claim as late as March 15 of the next year, with a processing fee taken out of the credit. Call 802-828-2865 before counting on a late claim.
• Credits filed after October 15 are sent to you, not to your town.
• Mistakes can be fixed within three years of the April due date.

Renter Credit

Who qualifies

• You lived in Vermont as your main home for all of last year.
• You paid rent in Vermont for at least six months. The months do not have to be in a row.
• Your income is at or below the limit for your county and household size.
• No one claims you as a dependent.

If you get help with rent, such as a housing voucher, the credit is based only on the rent you paid yourself. Housemates who are not family can each file, and each gets half of the credit they would otherwise get.

What it pays

The credit is based on your income and on the fair market rent for your county and household size. The largest credit, $2,500, is for a home with three or more bedrooms in Chittenden County. For one person, the credit phases out completely somewhere between $47,190 and $59,090 in income, depending on the county. The credit is refundable: it can raise your refund even if you owe no tax.

How to file

1. Ask your landlord for a Landlord Certificate. Your landlord must file one each year. If they will not, call 802-828-2865.
2. Find your SPAN with the SPAN Finder on tax.vermont.gov.
3. File Form RCC-146 on myvtax.vermont.gov (under Returns), with your income tax return using tax software, or on paper. To get a paper form mailed to you, call 802-828-2515.

Deadline

Claims are due April 15. The last day the Department accepts a claim is October 15. Late claims are not accepted.

Common mistakes

• Not filing because you do not owe income tax. You can file either claim on its own on myVTax, without an income tax return.
• Leaving out Social Security. It counts as household income.
• Missing the Renter Credit cutoff. October 15 is final.
• Forgetting the Homestead Declaration. Without it, a homeowner cannot get the Property Tax Credit.

Free help

• Vermont Department of Taxes, Taxpayer Services: 802-828-2865, or toll-free in Vermont 866-828-2865. Monday, Tuesday, Thursday and Friday, 7:45 a.m. to 4:30 p.m. Email: [email protected].
• In person: Taxpayer Assistance Window, 133 State Street, Montpelier.
• Senior HelpLine: 1-800-642-5119 connects you to your local Area Agency on Aging.

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Check what you may qualify for