Connecticut Senate Bill SB00445

Connecticut 2010 Regular Session

• Introduced: 3/10/10
• Refer: 3/10/10
• Report Pass: 4/1/10
• Refer: 4/12/10
• Report Pass: 4/19/10
• Refer: 4/27/10
• Report Pass: 4/29/10

Caption

An Act Enhancing The Ability Of The Department Of Revenue Services To Collect Outstanding Taxes.

Impact

If enacted, this bill will significantly bolster state tax collection by tying the issuance of various licenses—necessary for numerous professions and businesses—to the payment of outstanding state taxes. The strategy aims to prevent individuals and entities from evading tax liabilities while still engaging in professional activities within the state. This law is expected to catalyze a more reliable revenue stream for Connecticut by minimizing the occurrence of tax debt among those seeking to operate legally within the state.

Summary

SB00445 is designed to enhance the ability of the Department of Revenue Services to collect outstanding taxes in Connecticut. It introduces provisions that enable the department to refuse the issuance of licenses to applicants who have outstanding tax obligations to the state. This is crucial in ensuring that individuals and businesses comply with their tax filings. The bill mandates that agencies verifying license applications must check the tax payment status of applicants, thereby promoting prompt tax compliance and reducing delinquency.

Sentiment

The sentiment around SB00445 is predominantly supportive among legislators who view it as a practical approach to ensuring that all citizens and businesses meet their tax responsibilities. Advocates argue it will enhance the state's ability to enforce revenue collection and ensure fair competition among businesses. However, there are concerns from some quarters regarding the potential burden on legitimate businesses, especially small enterprises that may struggle with compliance amidst other operational pressures.

Contention

Notable points of contention include the implications of public agencies having access to an applicant's tax status, which might be perceived as overreach by some. Critics argue that this could disproportionately affect small business owners or individuals facing temporary financial hardships, as they may be denied licenses essential for their livelihoods. The bill attempts to address these concerns by allowing license issuance in cases of undue hardship, but the extent and effectiveness of this provision remain areas of debate.