All of Vermont · Tax exemption

Town Option Property Tax Exemption for Renewable Energy Sources

Run by Vermont towns (by town meeting vote, 32 V.S.A. § 3845)

Vermont towns can vote to exempt home renewable energy systems (solar collectors, wind turbines, net-metered systems, methane digesters) from property tax. It applies only where your town has voted for it.

Open Checked Oct 26, 2026

Amounts

How much you get

In a town that has adopted it, the renewable energy system and its parts are exempt from real and personal property tax (the land is not), so the saving equals the tax that would be due on the system.

Eligibility

Do I qualify?

You need to meet all 3 of these.

  • Your home is in Vermont.

  • Your town must have voted at an annual or special town meeting to adopt the exemption. It lasts until the town votes otherwise.

  • The energy must be used on the premises for private, domestic or agricultural purposes, with no part sold or exchanged to the public.

Applying

How to apply

Follow these steps.

  1. Ask your town clerk or listers whether the town has adopted the § 3845 exemption.
  2. If it has, ask the listers how the exemption is applied to your system.

Stacking

Use it with

Small solar under 50 kW is already exempt statewide under 32 V.S.A. § 3802(17) (vt-small-solar-property-tax-exemption) without a town vote; this town option matters mostly for other systems or larger ones.

Your address

Next steps

Check that it covers your address. Then, if you want, ask for a contractor quote.

FAQ

Questions

How much does Town Option Property Tax Exemption for Renewable Energy Sources pay?

In a town that has adopted it, the renewable energy system and its parts are exempt from real and personal property tax (the land is not), so the saving equals the tax that would be due on the system.

Do renters qualify?

The energy must be used on the premises for private, domestic or agricultural purposes, with no part sold or exchanged to the public.

Can I combine it with other rebates?

Yes, with Sales Tax Exemption for Net Metering, Home Energy Systems and Solar Hot Water Systems. See Use it with.

Is it still available?

Yes. It was open when we last checked, on October 26, 2026.

References

Sources

This page is built from these official pages, run by the program itself.

  1. 32 V.S.A. § 3845, Renewable energy sourceslegislature.vermont.gov · Read Oct 26, 2026 · Re-checked monthly

When one of these pages changes, we re-check this page against it.

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