September 1, 2026 Update

Info: 6% drop in Education tax rate vs. Town Meeting

At Town Meeting each year the Lincoln school district provides information about projected education tax rates, including calculations and estimates that are based on state data and information available as of January. Later in the year this information is finalized, which often results in changes to our initial estimates.

This year, Lincoln’s updated FY27 Homestead rate for education taxes is 6% lower than what we presented at town meeting, dropping to 1.0653 versus our previously estimated 1.1326 rate.

Tax changes compared to FY26

* Lincoln’s updated FY27 Homestead tax rate (1.0653) is 1.3% higher than the FY26 rate (1.0519), not 7.7% higher, as originally projected.

* Consequently: FY27 education tax per $100K of property value is approximately $13 higher than FY26, not $81 higher.

Education Taxes Calculated as a Percentage of Income

Approximately two-thirds of taxpayers in Vermont receive a credit on their homestead property taxes. Overall eligibility is based on household income, and the size of the credit is based on a combination of income and property value. After the credit is applied, many taxpayers pay a net amount that is equal to a percentage of their income. This percentage is known as the Income Rate.

Along with a reduced Homestead tax rate, Lincoln’s updated FY27 Income Rate for education taxes is 4% lower than our previously estimated rate: 2.09% versus 2.23%.

Depending on individual circumstances with respect to changes in income and property value, this change translates to an approximate 1% to 4% decrease in net tax (after the credit is applied), rather than our prior estimated increase of between 3% and 6%.

We hope this information is useful as you review your property tax statements.

As always, the Board is profoundly grateful for our wonderful district office team for their skill and dedication to ensuring LSD’s financial security and sustainability. Thank you!

Statement on Updated FY27 Education Tax Rates Since Town Meeting