VT S0312

Converts Vermont's corporate income tax credit for machinery and equipment investment from a nonrefundable credit to a refundable credit, allowing taxpayers to receive up to $500,000 as a cash refund when credits exceed tax liability

Repeals the 80% limitation on how much the credit can reduce a taxpayer's income tax liability in any single year

Extends the tax credit program's sunset date from 2030 to 2034, with the final reporting year changed from 2031 to 2035

Maintains the existing credit rate of 10% of qualified capital expenditures, with a $20 million minimum investment threshold and $8 million total program cap ($1 million maximum per tax year)

Takes effect January 1, 2027, applying to taxable years beginning on or after that date