IN-117: Vermont Credit for Income Tax Paid to Other State or Canadian Province (2024)
Vermont · Vermont Department of Taxes · Used for tax years 2024
The 2024 Vermont Schedule IN-117 calculates the Vermont credit for income tax paid to another state or Canadian province. It reports income taxed by both jurisdictions, the tax paid to the other jurisdiction, and the credit to enter on Form IN-111.
Who files this form
Schedule IN-117 is for Vermont residents and some part-year residents claiming a credit for income tax paid to another state or Canadian province on income also taxed by Vermont.
Complete a separate Schedule IN-117 for each state or Canadian province. The form does not explain which part-year residents qualify.
What you'll need
- Form IN-111, including the adjusted gross income on Line 1 and Vermont income tax on Line 14.
- Schedule IN-112, Part I, for the amounts requested from Lines 3, 4, 7, and 9.
- A copy of the other state return(s), which the form says to include.
- Information about income taxed by both Vermont and the other state or Canadian province, the listed income adjustments, and income tax paid to that jurisdiction.
How to file
Include Schedule IN-117 with Form IN-111. Complete a separate schedule for each state or Canadian province and include a copy of the other state return(s).
Print in blue or black ink. Enter the credit from Schedule IN-117, Line 21, on Form IN-111, Line 17.
The supplied form does not provide a mailing address or e-filing instructions.
Common mistakes
- Do not combine multiple states or Canadian provinces on one schedule. Complete a separate IN-117 for each.
- Do not forget to include the other state return(s) and attach IN-117 to Form IN-111.
- On Line 1, use the standard two-letter abbreviation for the state or Canadian province.
- Line 2 cannot exceed Form IN-111, Line 1. For Lines 2 and 10, enter zero if the amount is less than zero.
- The computed credit on Line 19 cannot exceed 100% of Vermont tax.
- On Line 21, use the lesser of Line 19 or Line 20, and also enter that credit on Form IN-111, Line 17.
Questions people ask
Can I use one schedule for more than one state or Canadian province?
No. Complete a separate Schedule IN-117 for each state or Canadian province.
What income goes on Line 2?
Enter adjusted gross income taxed by another state or Canadian province that is also subject to Vermont income tax. The amount cannot exceed Form IN-111, Line 1. If it is less than zero, enter zero.
How is the credit calculated?
Line 19 divides Line 9 by Line 17, then multiplies the result by the Vermont income tax on Line 18. That result cannot exceed 100% of Vermont tax. Your credit on Line 21 is the lesser of Line 19 or the income tax paid to the other state or Canadian province reported on Line 20.
Where do I report the credit on my Vermont return?
Enter the credit from Schedule IN-117, Line 21, on Form IN-111, Line 17. Include the schedule with Form IN-111.