Vermont Employer Tax Information

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To sign up for Square’s online payroll services in Vermont, you must be registered with the Vermont Department of Taxes and Vermont Department of Labor so we can pay and file your state taxes.

Agency Required Tax Information Format
Vermont Department of Taxes Vermont Withholding Account Number WHT-00000000 (WHT + 8 digits)
Vermont Department of Labor Vermont UI Account Number 0000000 (7 digits)
Vermont Contribution Rate X.X%

Vermont Tax Account Numbers

Vermont Withholding Account Number

  • If you are a new business, register online with the VT Department of Taxes to retrieve your account number. You may also register by mail or fax using Form BR‐400, Application for Business Tax Account.
  • If you already have a VT Withholding Account Number, you can find this on correspondence from the VT Department of Taxes or by calling the agency at 802-828-2551.

Vermont UI Account Number and Tax Rate

  • If you are a new business, register online with VT Department of Labor to retrieve your account number and tax rate. The Employer Tax Rate for most new employers is 1.0%.
  • If you already have a VT UI Account number and tax rate, you can find this on the Contribution Rate Notice mailed by the VT Department of Labor. If you are unsure, you can contact the agency at 802-828-4344.

Vermont Nonresident Percentage

Employees who do not live in Vermont but work in Vermont may be subject to lower withholding tax rates if they are also employed in another state.

Square Payroll will set each employee’s non-resident percentage to 0% by default, which means that we assume the employee only worked in Vermont, and they will be taxed at the same rates as Vermont residents. However, if you know the employee only worked partially in Vermont, and earned wages in another state, you may update the non-resident percentage on the team member’s payroll profile to adjust taxes accordingly.

For example, if your non-resident employee only worked 20 out of 40 hours in Vermont (and the remaining 20 hours in another state), you would enter 50% in the non-resident percentage field.

Visit the VT Department of Taxes website for more information on non-resident withholding.

Vermont Payroll Tax Details

Square Payroll processes the following per the frequency below to the listed state agencies:

Agency Filing Frequency
Vermont Department of Taxes Withholding Tax Payment (VT WHT-430) After Every Pay Run
Quarterly Withholding Reconciliation and Health Care Contribution (VT WHT-436) Quarterly
Health Care Contribution Tax Payment (VT WHT-430) Quarterly
Wage and Tax Statement (W-2) Annually
Annual Withholding Reconciliation (VT WHT-434) Annually
Vermont Department of Labor Quarterly Wage and Contribution Report (VT C-101) Quarterly
New Hire Report As Needed

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