An act relating to the local media advertising tax credit

H 377 creates a refundable income tax credit for Vermont small businesses that advertise in qualifying local media outlets. Small businesses (defined as those with under $10 million in gross income and fewer than 100 full-time employees) can claim a 50% credit on advertising expenses, capped at $250 per year. To qualify, media outlets must meet specific criteria, including producing original local news content and meeting audience or publication requirements. The credit applies to advertising in local broadcast organizations or news organizations that serve Vermont communities, effective January 1, 2026.