When the Vermont Commissioner of Taxes needs to protect the short-term vehicle rental tax, the Commissioner can require a rental company to post a surety bond under 32 V.S.A. chapter 219. The Commissioner fixes the amount; we issue it at a flat 3% with no credit check. Note: this bond carries statutory year-end (12/31) renewal dates.
















No long underwriting queue for the standard rental tax bond — enter your amount, pay, and file with the Department of Taxes. Here is the whole thing:
Your business details, the bond amount the Commissioner set, and the effective date — that is the entire application.
No credit check and no waiting — the executed bond is generated as soon as you pay. Larger amounts may get a quick review.
Submit the executed bond to satisfy the Commissioner’s notice. This bond renews on a statutory 12/31 date; we track that and notify you ahead of expiration.
Bond amount × 3% = your premium, one-time per term, $275 minimum. Enter the figure on your Commissioner of Taxes notice and the premium updates.
Vermont imposes a short-term vehicle rental tax — currently 9% of the rental charge on pleasure cars rented for less than a year — under 32 V.S.A. chapter 219. A rental company collects that tax from renters and remits it to the Department of Taxes. Most companies simply file and pay; a bond is the exception, not the rule.
The Commissioner of Taxes may require a bond when the Commissioner deems it necessary to protect the revenue — for example after a late filing or unremitted tax, or for a new company without a track record. When required, the bond is fixed by the Commissioner but cannot exceed the company’s total potential tax liability, so it is sized to your rental volume.
You generally have 15 days after notice to file the bond (or to request a hearing on its necessity, propriety, and amount). The bond stands behind the tax you collect or owe — if you fail to remit, the state can recover against it. We issue the amount the Commissioner set, at a flat 3% with no credit check, on a statutory 12/31 renewal cycle.
Submit the application with the bond amount the Commissioner of Taxes set — the executed bond is generated instantly, ready to file. Remember this bond renews on a statutory 12/31 date.
Start the application →If yours isn't here, the bond team can usually answer within the hour.
Five-minute application, flat 3%, $275 minimum. Enter the amount the Commissioner set and file within your 15-day window.