Overview
Vermont has unique vending regulations including a complete ban on tobacco vending machines, application of Meals and Rooms Tax (not sales tax) to vending sales, and free business tax registration. The state requires signage stating "All prices include the Vermont Meals and Rooms Tax" on each machine.
Vermont is notable for having no per-machine licensing requirements, free business registration, and tax exemptions for school and government vending. The state has strong consumer protection laws with penalties up to $10,000 per violation.
Business Registration
Business registration is required for vending operators in Vermont.
Registration Agency
Registration Types
- Business entity registration (LLC, Corporation, Partnership)
- Vermont Business Tax Account (free registration)
Register business entity at sos.vermont.gov or bizfilings.vermont.gov. Business tax registration is free and covers all vending operations statewide.
Sales Tax
Tax Application
- General sales tax applies to vending: No
- Food tax variation: Varies local
- Local rates possible: Yes
- Resale certificate required: No
- Filing frequency: varies
Vermont applies Meals and Rooms Tax (not sales tax) to vending. State meals tax rate plus 1% local option tax in some municipalities. School and government employee vending exempt from tax.
Registration
Forms: Vermont Business Tax Account (free registration)
Vending Operator License
Vending operator license is not required in Vermont.
Machine Registration
Machine registration is not required in Vermont.
Health Permit & Food Code
Health permits are required for:
- Food preparation/service establishments
- Potentially hazardous foods
Agency: Vermont Agency of Agriculture, Food & Markets
Food Code: Vermont Food Code
Inspections: Risk-based inspection schedule
Micro Markets
Micro markets are recognized in state code.
Permit required: Yes
Specific Requirements
- Fall under retail food establishment licensing
- Subject to Agency of Agriculture regulations
- Must display required licenses publicly
Product Restrictions
Restricted Products
- Alcohol: Likely prohibited through state control system. Contact Division of Liquor Control for specific requirements. No explicit vending allowance found.
- Tobacco: COMPLETE BAN. All tobacco vending machines prohibited by state law with no exceptions for age verification. This is one of the strictest tobacco vending bans in the nation.
- CBD/Hemp: Subject to Cannabis Control Board regulations. Municipal opt-out provisions available. Contact Cannabis Control Board for specific vending requirements.
- Age Verification: Tobacco vending completely banned regardless of age verification capabilities.
Placement Rules
Schools
TAX EXEMPT. Vending machine sales in schools not subject to meals tax. Must comply with federal nutrition standards.
Public Buildings
TAX EXEMPT. Sales to government employees on government property not taxable. Must comply with facility requirements.
Private Property
Property owner permission required. Subject to local zoning and regulations.
ADA & Accessibility
Must follow federal ADAAG standards. Vermont exceeds federal accessibility requirements in some areas. Enforced by Division of Fire Safety and Vermont Access Board.
Electrical & Fire Code
Must comply with state and local building codes. Division of Fire Safety oversight.
Local Permits
Vermont has home rule, meaning local jurisdictions can impose additional requirements.
Typical Local Requirements
- Municipal business permit
- Local health permits
- 1% local option tax (some municipalities)
Example Localities
Burlington
Subject to 1% local option tax. Department of Permitting and Inspections handles permits. Contact city directly for specific vending requirements.
Montpelier
Municipal permit requirements apply. Contact city directly for specific regulations and permit applications.
Penalties & Enforcement
Common Violations
- Operating tobacco vending machines (complete ban)
- Failure to display tax inclusion signage
- Vending machine fraud (slugs/counterfeit)
- Consumer protection violations
- Food safety violations
Penalties
- Consumer protection: Up to $10,000 per violation
- Courts may order restitution to consumers
- Temporary or permanent injunctions available
- Vending fraud prosecuted under 9 V.S.A. §2453
Key Contacts
Vermont Department of Taxes
Phone: (802) 828-2551
Vermont Agency of Agriculture, Food & Markets
Phone: (802) 828-2430
Vermont Secretary of State
Phone: (802) 828-2363
Vermont Attorney General Consumer Protection Unit
Phone: (800) 649-2424
Frequently Asked Questions
Does Vermont require a vending operator license?
No, Vermont does not require a specific vending operator license. You need a Vermont Business Tax Account which is free to register. There are no per-machine licensing requirements.
What tax applies to vending machines in Vermont?
Vermont applies the Meals and Rooms Tax (not sales tax) to vending machine sales. The rate is the state meals tax plus 1% local option tax in some municipalities. You must display "All prices include the Vermont Meals and Rooms Tax" on each machine.
Can I have tobacco vending machines in Vermont?
No, Vermont has a complete ban on all tobacco vending machines with no exceptions for age verification. This is one of the strictest tobacco vending bans in the nation.
Are school vending machines taxed in Vermont?
No, vending machine sales in schools are exempt from the Vermont Meals and Rooms Tax. However, machines must still comply with federal nutrition standards.
What are the consumer protection penalties in Vermont?
Vermont has strong consumer protection laws with civil penalties up to $10,000 per violation. Courts may also order restitution to consumers and issue temporary or permanent injunctions.
Do I need to register each vending machine individually?
No, Vermont does not require individual machine registration. Your free Vermont Business Tax Account covers all your vending operations statewide. Just ensure each machine displays the required tax inclusion signage.
What accessibility requirements apply to vending in Vermont?
Vermont follows federal ADAAG standards and exceeds federal requirements in some areas. The Division of Fire Safety and Vermont Access Board enforce accessibility. Contact DPS.DFSAccessBoard@vermont.gov for specific guidance.