Bill H.933 proposes significant changes to Vermont's tax laws, focusing on property taxes, estate taxes, and corporate income tax calculations. The bill repeals the denial of tax credits for S corporations and modifies the property transfer tax by imposing a higher rate of 3.4 percent on residential properties that are not the principal residence of the transferee. It also allows the Commissioner to assess this higher rate if a landlord certificate is filed without a bona fide landlord-tenant relationship. Additionally, the bill raises the threshold for requiring a Vermont estate tax return from $2,750,000 to $5,000,000 and updates the Down Payment Assistance Program's credit allocations.

Moreover, the bill introduces various administrative changes, such as shifting property tax assessment dates from April to January and establishing a PILOT Special Fund to support municipal listers and assessors. It amends definitions related to "Vermont net income" and "taxable income," allowing for the inclusion of bonus depreciation deductions and certain federal deductions for research expenditures. The bill also increases the percentage of the federal research and development tax credit that Vermont taxpayers can claim from 27% to 75% and raises the cap on annual tax credits awarded from $3 million to $4 million. Overall, H.933 aims to modernize Vermont's tax framework, enhance compliance, and ensure equitable tax assessments across municipalities.

Statutes affected:
As Introduced: 32-5916, 32-9602, 32-3757, 32-3758(b), 32-3758, 32-3710(c), 32-3710, 32-5405(a), 32-5405, 32-5406, 16-559(e)(7), 16-559, 16-559(e), 16-2959a(d), 16-2959a, 16-4011(b), 16-4011, 32-5401(12)(B), 32-5401, 32-5401(12), 32-6062(c), 32-6062, 32-7444(a), 32-7444, 32-5930u(h), 32-5930u, 32-4152(a)(3), 32-4152, 32-4152(a), 10-4132, 24-1892(b), 24-1892, 24-1904(b)(2), 24-1904, 24-1904(b), 32-3481(1)(B)(iv), 32-3481, 32-3481(1), 32-3482, 32-3485, 32-3603(a), 32-3603, 32-3610(b), 32-3610, 32-3618(c)(2), 32-3618, 32-3618(c), 32-3651, 32-3691, 32-3692(b), 32-3692, 32-3708, 32-3755(b), 32-3755, 32-3802a, 32-3850(d), 32-3850, 32-4001(a), 32-4001, 32-4004, 32-4041, 32-4044, 32-4045, 32-4605, 32-5401(7), 32-5404a(a)(6), 32-5404a, 32-5404a(a), 32-5410, 32-133, 32-3436(e), 32-3436, 32-3709(a), 32-3709, 32-4041a, 32-5811, 32-5822, 32-5823, 32-5930ii, 32-5930ee, 32-5824, 32-7402(8), 32-7402, 16-4025, 32-435(b)(7), 32-435, 32-435(b)