Practically speaking, the Department of Revenue calculates taxable value as cost minus reserves for depreciation. There is no unitary valuation. Localities assess non-operating property. Vermont Telecommunications providers owning lines or businesses in Vermont are exempt from local ad valorem taxation on their personal property. Instead, they pay a state tax equal to 2.37 percent on net book value of their Vermont personal property.
Real property is taxed at the local level.
Intangibles are exempt. Resellers are not generally subject to the tax as they typically do not own the lines they use. The following describes how other major states, and their localities, impose their respective real property taxes on the property of telecommunications providers. Intangible assets of a cable television system are specifically exempt from taxation. The State Board of Equalization assesses all telecommunications utility property on a unitary basis.