32 V.S.A. § 5911 — Taxation of an S corporation and its shareholders

(a) An S corporation shall not be subject to the tax imposed by section 5832 of this title, except to the extent of income taxable to the corporation under the provisions of
the Internal Revenue Code.
(b) For the purposes of section 5823 of this title, each shareholder’s pro rata share of the S corporation’s income attributable to
Vermont and each resident shareholder’s pro rata share of the S corporation’s income
not attributable to Vermont shall be taken into account by the shareholder in the
manner provided in 26 U.S.C. § 1366. (