Vermont 2025-2026 Regular Session

Vermont House Bill H0090 Compare Versions

Only one version of the bill is available at this time.

Old	New	Differences
1	1	BILL AS INTRODUCED H.90
2	2	2025 Page 1 of 3
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5	5	VT LEG #379473 v.1
6	6	H.90 1
7	7	Introduced by Representatives Canfield of Fair Haven and Waszazak of Barre 2
8	8	City 3
9	9	Referred to Committee on 4
10	10	Date: 5
11	11	Subject: Taxation; personal income tax; earned income tax credit; child tax 6
12	12	credit; debt setoff 7
13	13	Statement of purpose of bill as introduced: This bill proposes to amend the 8
14	14	amounts of the Vermont earned income tax credit and the Vermont child tax 9
15	15	credit and to exclude payment of these credits from tax debt setoff. 10
16	16	An act relating to the Vermont earned income tax credit and the Vermont 11
17	17	child tax credit 12
18	18	It is hereby enacted by the General Assembly of the State of Vermont: 13
19	19	Sec. 1. 32 V.S.A. § 5828b is amended to read: 14
20	20	§ 5828b. EARNED INCOME TAX CREDIT 15
21	21	(a)(1) A resident individual or part-year resident individual who is entitled 16
22	22	to an earned income tax credit granted under the laws of the United States or 17
23	23	who would have been entitled to an earned income tax credit under the laws of 18
24	24	the United States but for the fact that the individual, the individual’s spouse, or 19
25	25	one or more of the individual’s children does not have a qualifying taxpayer 20 BILL AS INTRODUCED H.90
26	26	2025 Page 2 of 3
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29	29	VT LEG #379473 v.1
30	30	identification number shall be entitled to a credit against the tax imposed for 1
31	31	each year by section 5822 of this title. The credit shall be 38 percent a 2
32	32	percentage, as determined under subdivision (2) of this subsection, of the 3
33	33	earned income tax credit granted to the individual under the laws of the United 4
34	34	States or that would have been granted to the individual under the laws of the 5
35	35	United States but for the fact that the individual, the individual’s spouse, or one 6
36	36	or more of the individual’s children does not have a qualifying taxpayer 7
37	37	identification number, multiplied by the percentage that the individual’s 8
38	38	income that is earned or received during the period of the individual’s 9
39	39	residency in this State bears to the individual’s total income. 10
40	40	(2) The credit under this section shall be a percentage of the earned 11
41	41	income tax credit granted to the individual under the laws of the United States 12
42	42	as follows: 13
43	43	(A) for an individual who claims one qualifying child or more than 14
44	44	one qualifying child for purposes of the earned income tax credit under this 15
45	45	section during the taxable year, 55 percent; and 16
46	46	(B) for an individual who does not claim any qualifying children for 17
47	47	purposes of the earned income tax credit under this section during the taxable 18
48	48	year, 100 percent. 19
49	49	* * * 20 BILL AS INTRODUCED H.90
50	50	2025 Page 3 of 3
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53	53	VT LEG #379473 v.1
54	54	(c) Notwithstanding sections 3112 and 5891 and chapter 151, subchapter 1
55	55	12 of this title and any other provision of law to the contrary, the credit under 2
56	56	this section shall not be subject to tax debt setoff under the laws of this State or 3
57	57	another state. 4
58	58	Sec. 2. 32 V.S.A. § 5830f is amended to read: 5
59	59	§ 5830f. VERMONT CHILD TAX CREDIT 6
60	60	* * * 7
61	61	(e) Notwithstanding sections 3112 and 5891 and chapter 151, subchapter 8
62	62	12 of this title and any other provision of law to the contrary, the credit under 9
63	63	this section shall not be subject to tax debt setoff under the laws of this State or 10
64	64	another state. 11
65	65	Sec. 3. EFFECTIVE DATE 12
66	66	Notwithstanding 1 V.S.A. § 214, this act shall take effect retroactively on 13
67	67	January 1, 2025 and shall apply to taxable years beginning on and after 14
68	68	January 1, 2025. 15