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What is a Charitable Contribution Tax Credit?

Submitted by Christie.Omode… on
Answer

The Working Families Taxpayer Protection package was passed during the 2018 legislative session as part of Act 11 and went into effect on July 2, 2018. This act created a nonrefundable charitable contribution tax credit to be deducted from tax owed. Vermont taxpayers who take advantage of the credit may deduct five percent of the first $20,000 in eligible charitable contributions made during the taxable year from that year’s taxes. This law is retroactive to Jan. 1, 2018.

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