I cant do this tag. Not because of some self appointed moral issue.

Its just the guards catch me all the time. I cannot be a member of the thieves guide, and get my bounty erased. Somewhere along the way I got them upset. You would think after a little bloodbath, all would be forgiven. Not so apperently. But I'm going off topic here...

I am a protector in the fighters guide. My dilemma is the Vandacius Bounty. I levitate up and come in the door, so I'm right beside her. I kill her and use a recall spell, to port back to the mark spell I left by Lorbumol? As soon as I swing shes dead in one stroke, but my crime is reported. And I end up with this hefty bounty of over a thousand. This is the last quest I can do as a protecter, and Im hoping I can advance then. to Guardian.

If i refuse the quest will I stay at Protecter level for my finished rank in the fighters guide at the end of the game? (its okay I can live with it, I just wanted to know)

Win

High there. I've done Fighter's guild quests three times through and I have never accepted that quest from Lorbumol because if you follow the quest line of fighter's guild long enough you will eventually realise Lorbumol is corrupt. And this quest is absolutely not necessary for you to advance further in the guild. You just need to find another quest giver in other towns and do their quests instead. Simply not initiate this quest in the first place, or leave it there and don't kill the tax lady (unless you want to play it evil).

On the other hand, there are ways to kill people without receiving any bounty. Simply buy a spell that has frenzy humanoid effect, then make a custom spell on your own that frenzy humanoid to 100 point in 1 second. This way as long as you frenzy your target and they attack you first, you can defend yourself and kill them without causing much problem. So if you really want to kill her this maybe your best option.

You could just pay the bounty if you get in trouble with the law. Or do jail time. There are also certain quests where the quest giver will remove ALL bounties from you upon completion. An example would be the quest from an Imperial Legion member (Varro?) in Moonmoth fort where he asks you to massacre an entire tavern of Camonna Tong members, which understandably generates quite a bounty. If you can manage to get back to him before the guards murder you on sight, he'll clear your bounty up.

Also there are console commands to get rid of bounties, incase you happen to play on PC.