An act relating to local option taxes

This bill requires every city, town, and incorporated village in Vermont to adopt a one percent local option tax on sales, meals, rooms, or alcoholic beverages. The legislation allows municipalities to choose this tax as an alternative revenue source, with specific eligibility criteria based on education property tax rates and property valuations. Municipalities must provide 90 days' notice to the Department of Taxes before implementing the tax, which would become effective the following tax quarter. The act takes effect on July 1, 2024, giving local governments time to prepare for potential implementation.