Overview: When hiring employees in Vermont, you must register for State Income Tax Withholding through the Vermont Department of Taxes and State Unemployment Insurance (UI) Tax through the Vermont Department of Labor. Both registrations are required for employers to remain compliant with state payroll obligations.
Important! This guide does not constitute legal or tax advice. You can consult a CPA or attorney for official guidance.
Taxes You Must Register For:
Vermont Withholding Income Tax
Registration Steps
1. Register for a Vermont Withholding Account ID
Go to the MyVTax portal
Click Sign Up in the top right corner
Select the option for Businesses and Corporations
Review the list of information required for registration
Complete your user account setup, including password and security questions
Follow and complete the remaining registration steps
Update your Buddy Punch account with your Vermont Withholding Account ID. This ID is required for all Vermont Department of Taxes interactions to ensure your account is accurate.
Third-Party Access
In order for Check to file and remit payments on your behalf to the Vermont Department of Taxes:
Check will send each employer a Third-Party Authorization Form
This form must be completed and returned promptly to avoid potential late fees and interest
If you have questions about this process, please call MyVTax support at (802) 828-6802 or email [email protected]
Vermont Unemployment Insurance (UI) Tax
Registration Steps
1. Register for a Vermont Unemployment Account Number
Answer the initial registration screening questions and click Submit
Enter your Federal Employer Identification Number (FEIN) and create a PIN
Complete the remaining registration steps
Update your Buddy Punch account with your Vermont Unemployment Account Number. This account number is required for all Vermont Department of Labor interactions to ensure your account is accurate.
For additional assistance, contact the Department of Labor at (802) 828-4344.