Local Option Tax

The Town of Essex does not collect a Local Option Tax (LOT).

The City of Essex Junction enacted a local option tax on October 1, 2022. The Town of Essex, from which the City of Essex Junction recently separated, does not have this tax and has previously voted this tax down. The two municipalities share a common zip code, as does parts of Westford, which has led to the local option taxes being improperly collected outside of the City of Essex Junction.


Are you in the Town or CityAre you located in the Town of Essex?

Click on the interactive map above to search for your address to determine if your business is located in the Town of Essex or the City of Essex Junction.

Local Option Tax Finder TOOL


VIEW AND PRINT a downloadable Information Sheet


Essex Zip Code

If you own a business with the mailing address, "Essex Junction, VT 05452" you may have received a letter from the Vermont Department of Taxes asking you to update the location of your business. If your business is located within the borders of  the Town of Essex, you must list the "Town of Essex" with the State - even if your mailing address is recognized by the USPS as "Essex Junction". 

If your business is located within the jurisdiction of the Town of Essex, but you are being charged for the local option tax for the City of Essex Junction, you may correct this error with this form from the State of Vermont website.

The United States Postal Service Address Management System (USPS AMS) has been updated to allow ESSEX to be used as a recommended city/town name with the 05452 ZIP code. This allows anyone who chooses to update their legal mailing address to ESSEX, VT 05452.

Nine Digit Zip Codes

Nine digit zip codes are hyper-local codes used to identify a small piece of a region identified by a five digit ZIP code. Your neighbor's additional four digits may not be the same as yours.Use this USPS Tool to find your code by putting your street address into the appropriate fields.

Information concerning the 1 Percent Local Tax Option from the City of Essex Junction and the Town of Essex

The City of Essex Junction and the Town of Essex were made aware that some businesses in the Town of Essex have been charging the City-approved 1 percent Local Option Tax (LOT) in error. Because of this, both municipalities are providing information to customers and Town of Essex businesses on what to do if they have been affected. 
In July 2022, businesses in Essex Junction and the Town of Essex were sent letters from the Vermont Department of Taxes requesting that they update their business location as either the City of Essex Junction or the Town of Essex because of the 1 percent LOT adopted by the City. The 1 percent LOT is determined by the location of the business, not the postal code. The City and Town have provided a list of addresses to help customers and businesses know if they are located in the City or Town. City addresses are highlighted in yellow. 

VIEW LIST OF ADDRESSES - TOWN OR CITY  


Customers

If you believe you have been charged the 1 percent LOT in a Town of Essex business, you should request a refund directly from the business that charged the LOT in error. VIEW AND DOWNLOAD this Information Sheet (pdf). You may wish to bring this sheet with you to the business when requesting a refund. 


Businesses

If you are a Town of Essex business and have been charging the 1 percent LOT in error, you should contact the Vermont Department of Taxes to correct your account and to receive additional instructions. The Vermont Department of Taxes can be reached at tax.business@vermont.gov or 802-828-2551. Businesses can find additional information about the LOT at https://tax.vermont.gov/business/local-option-tax

If you are an Essex Junction business, you should be charging the 1 percent LOT. Please check out the Vermont Department of Taxes for more information about the LOT. 

Businesses that may be unsure of whether their location is in the City or Town can contact the City Offices at admin@essexjunction.org or 802-878-6944 or the Town Offices at community-development@essex.org or 802-878-1343.



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