Insurance Companies

V.S.A. tit. 32, ch. 211, subch. 7

in effect

32 V.S.A. § 8551 Imposition, rate, and basis of tax

8551. Imposition, rate, and basis of tax A domestic or foreign insurance company, association, or society, other than life, or a surety or guaranty company, doing business in this State, shall pay a tax to the State, which is hereby assessed at the rate of two percent per annum on the gross amount of premiums and assessments written on its business in this State, but not including premiums received for reinsurance. A domestic or foreign life insurance company doing business in this State shall pay a tax to the State, which is hereby assessed at the rate of two percent per annum on the gross amount of premiums and assessments collected on its business in this State, but not including premiums received for reinsurance.

32 V.S.A. § 8552 Returns

8552. Returns A domestic insurance company, association, or society, other than life, or surety or guaranty company shall pay a tax to the State on the gross amount of premiums and assessments written and not taxed in other states, and shall pay a tax to the State on the gross amount of premiums and assessments collected and not taxed in other states, and shall include such business in its returns. A domestic life insurance company shall pay a tax to the State on the gross amount of premiums and assessments collected and not taxed in other states and shall include such business in its returns. The term “taxed in other states” means: (1)(A) a tax imposed by another state on premiums and paid directly by the company, association, society, surety, guaranty, or life insurance company to such other state under an insurance premiums tax of the same general kind as found in chapter 211, subchapter 7 of this title; or (B) a corporate income or franchise tax in which the premiums taxed under subdivision (A) of this subdivision (1) are a factor in the computation thereof; or (2) a tax of the same general kind as found in 8 V.S.A. § 5035, imposed by another state upon surplus lines premiums, which is paid directly or indirectly to that state by agents or brokers of the Vermont domestic insurer that is not itself authorized to do business in that state. Amended 1975, No. 185 (Adj. Sess.), § 1, eff. March 25, 1976.

32 V.S.A. § 8553 Time of payment

8553. Time of payment Such tax shall be based upon the business of such company, association, or society during the year terminating with December 31 preceding. It shall be paid quarterly on or before the last day of the second calendar month following the quarter ending the last day of March, June, September, and December of each calendar year and shall be computed either upon the business of such company, association, or society during the quarter for which the payment is made or upon an estimated basis predicated upon prior years business, upon forms to be prescribed by the Commissioner of Taxes. Where the aggregate tax imposed upon a company, association, or society is reasonably expected to be less than $500.00 for the calendar year, it may be paid on an annual basis not later than the last day of February following the close of the year. Such company, association, or society shall annually make a final reconciliation return on or before the last day of February in the manner provided in section 8123 of this title. Amended 1975, No. 67, § 1, eff. Jan. 1, 1976.

32 V.S.A. § 8554 Deductions

8554. Deductions In determining the amount of taxes to be assessed under the provisions of sections 8551 and 8552 of this title, there shall be deducted from the full amount of such premiums and assessments all sums paid for return premiums on cancelled policies upon risk located in this State and dividends actually paid or allowed to policyholders residing therein. Nothing in this section shall be construed to allow dividends in scrip, in stock, mutual or mixed companies, or surrender values for life policies to be considered return premiums.

32 V.S.A. § 8555 Reciprocal provisions

8555. Reciprocal provisions If another state or country imposes upon or requires of a domestic insurance, surety, or guaranty company or its agents doing business therein, taxes exceeding those imposed by this State upon or required of foreign insurance, surety, or guaranty companies doing business herein, an insurance, surety, or guaranty company organized under the laws of such other state or country and its agents doing business in this State, shall be subject to taxes similar to those so imposed in such other state or country, and the same shall be imposed, required, and enforced as like taxes are under the laws of this State.

32 V.S.A. § 8556 Exemption

8556. Exemption For the purposes of this subchapter, a continuing care retirement community certified under 8 V.S.A. chapter 151 shall not be deemed to be an insurance company or other entity subject to the tax imposed by this subchapter. Added 1987, No. 247 (Adj. Sess.), § 2.

32 V.S.A. § 8557 Vermont Fire Service Training Council

8557. Vermont Fire Service Training Council (a)(1) Sums for the expenses of the operation of training facilities and curriculum of the Vermont Fire Service Training Council not to exceed $1,500,000.00 per year shall be paid to the Fire Safety Special Fund created by 20 V.S.A. § 3157 by insurance companies, writing fire, homeowners multiple peril, allied lines, farm owners multiple peril, commercial multiple peril (fire and allied lines), private passenger and commercial auto, and inland marine policies on property and persons situated within the State of Vermont within 30 days after notice from the Commissioner of Financial Regulation of such estimated expenses. Captive companies shall be excluded from the effect of this section. (2) The Commissioner shall annually, on or before July 1, apportion such charges among all such companies and shall assess them for the charges on a fair and reasonable basis as a percentage of their gross direct written premiums on such insurance written during the second prior calendar year on property situated in the State. The Department of Taxes shall collect all assessments under this section. (3) An amount not less than $100,000.00 shall be specifically allocated to the provision of what are now or formerly referred to as Level I, units I, II, and III (basic) courses for entry-level firefighters. (4) An amount not less than $450,000.00 shall be specifically allocated to the Emergency Medical Services Special Fund established under 18 V.S.A. § 908 for the provision of training programs for certified Vermont EMS first responders and licensed emergency medical responders, emergency medical technicians, advanced emergency medical technicians, and paramedics. (5) The Department of Health shall present a plan to the Joint Fiscal Committee that shall review the plan prior to the release of any funds. (b) All administrative provisions of chapter 151 of this title, including those relating to the collection and enforcement of the income tax by the Commissioner, shall apply to this section. Added 1993, No. 87, § 1; amended 1995, No. 180 (Adj. Sess.), § 38(a); 1993, No. 186 (Adj. Sess.), § 29, eff. May 22, 1996; 2001, No. 143 (Adj. Sess.), § 6, eff. June 21, 2002; 2007, No. 190 (Adj. Sess.), §§ 33, 34; 2009, No. 42, §§ 13, 14; 2009, No. 137 (Adj. Sess.), § 28a; 2011, No. 78 (Adj. Sess.), § 2, eff. April 2, 2012; 2011, No. 139 (Adj. Sess.), § 51, eff. May 14, 2012; 2011, No. 143 (Adj. Sess.), § 62, eff. May 15, 2012; 2015, No. 134 (Adj. Sess.), § 19, eff. July 1, 2017; 2019, No. 51, § 35, eff. June 10, 2019; 2019, No. 166 (Adj. Sess.), § 30, eff. Oct. 1, 2020; 2023, No. 157 (Adj. Sess.), § 7, eff. June 6, 2024; 2023, No. 143 (Adj. Sess.), § 4, eff. July 1, 2024.

Source: Vermont General Assembly (legislature.vermont.gov)URL: https://legislature.vermont.gov/statutes/chapter/32/211Fetched: 10/21/2026