The bill H.308 proposes to exempt the sale of all building materials and supplies from sales and use tax in Vermont for a period of three years. After this period, the exemption 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.

Key amendments include the addition of "and supplies" to the definition of building materials, and a detailed description of what constitutes building materials and supplies. The bill specifies that these include all materials consumed in the construction, reconstruction, alteration, remodeling, or repair of buildings, while explicitly stating that blueprints are not considered supplies for the exemption. The effective dates for the various sections of the bill are set for July 1, 2025, for the exemption, and July 1, 2028, for the reversion to the previous exemption.

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