H.308 is a bill introduced to exempt the sale of all building materials and supplies from sales and use tax in Vermont. The proposed exemption is set to last for three years, after which it will revert to a limited exemption specifically for manufacturing facilities. The bill amends existing legal language to clarify the purpose of the exemption, shifting from providing incentives to restore downtown districts to reducing construction costs in Vermont. Additionally, it expands the definition of building materials and supplies to include all materials consumed in construction, while explicitly stating that blueprints are not considered supplies for the exemption.

The bill also includes provisions for the effective dates of the changes, with the new exemption taking effect on July 1, 2025, and the reversion to the previous exemption occurring on July 1, 2028. The amendments to the law include the insertion of new language regarding the exemption and the deletion of outdated language that previously defined the purpose and scope of the exemption. Overall, H.308 aims to support construction activities in Vermont by temporarily alleviating the tax burden on building materials and supplies.

Statutes affected:
As Introduced: 32-9706(y), 32-9706, 32-9741