As you may be aware, the Vermont legislature did not extend the moratorium on the collection of Vermont sales tax on prewritten software accessed remotely, also known as cloud computing. Therefore, taxpayer liability for the tax on prewritten software accessed remotely begins July 1, 2013.
The Department of Taxes has created a fact sheet, “The Sales and Use Tax Treatment of Cloud Computing”, with helpful information. In addition, there is a webpage dedicated to cloud computing at http://www.state.vt.us/tax/businesscloudcomputing.shtml with links to the applicable Vermont statutes and regulations.
Questions? Feel free to call our office at 802.878.1963. Davis & Hodgdon Associates has been assisting businesses in the Burlington Vermont Metro area for more than 20 years. The firm provides tax planning and compliance as well as a complete menu of business services including succession planning to businesses of all sizes.