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General Assembly Raised Bill No. 7373
January Session, 2019
LCO No. 5690
Referred to Committee on FINANCE, REVENUE AND
BONDING
Introduced by:
(FIN)
AN ACT CONCERNING TH E DEPARTMENT OF REVENUE SERVICES'
RECOMMENDATIONS FOR MINOR REVISIONS TO THE TAX AND
RELATED STATUTES.
Be it enacted by the Senate and House of Representatives in General
Assembly convened:
Section 1. Section 12-699 of the general statutes is repealed and the 1
following is substituted in lieu thereof (Effective July 1, 2019, and 2
applicable to taxable years commencing on or after January 1, 2019): 3
(a) As used in this section and section 12-699a, as amended by this 4
act: 5
(1) "Partnership" has the same meaning as provided in Section 6
7701(a)(2) of the Internal Revenue Code, as defined in section 12-213, 7
and regulations adopted thereunder. "Partnership" includes a limited 8
liability company that is treated as a partnership for federal income tax 9
purposes; 10
(2) "S corporation" means a corporation or a limited liability 11
company that is treated as an S corporation for federal income tax 12
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purposes; 13
(3) "Affected business entity" means a partnership or an S 14
corporation, but does not include a publicly-traded partnership, as 15
defined in Section 7704(b) of the Internal Revenue Code, that has 16
agreed to file an annual return pursuant to section 12-726 reporting the 17
name, address, Social Security number or federal employer 18
identification number and such other information required by the 19
Commissioner of Revenue Services of each unitholder whose 20
distributive share of partnership income derived from or connected 21
with sources within this state was more than five hundred dollars; 22
(4) "Member" means (A) a shareholder of an S corporation, (B) a 23
partner in (i) a general partnership, (ii) a limited partnership, or (iii) a 24
limited liability partnership, or (C) a member of a limited liability 25
company that is treated as a partnership or an S corporation for federal 26
income tax purposes; and 27
(5) "Taxable year" means the taxable year of an affected business 28
entity for federal income tax purposes. 29
(b) Each affected business entity that is required to file a return 30
under the provisions of section 12-726 shall, on or before the fifteenth 31
day of the third month following the close of each taxable year, pay to 32
the commissioner a tax as determined under this section. 33
(c) The tax due under subsection (b) of this section shall equal (1) 34
(A) the separately and nonseparately computed items, as described in 35
Section 702(a) of the Internal Revenue Code with respect to a 36
partnership or Section 1366 of the Internal Revenue Code with respect 37
to an S corporation, of the affected business entity, excluding any item 38
treated as an itemized deduction for federal income tax purposes, plus 39
any item described in Section 707(c) of the Internal Revenue Code with 40
respect to a partnership, to the extent any such items under this 41
subparagraph are derived from or connected with sources within this 42
state, as determined under the provisions of chapter 229, (B) as 43
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increased or decreased by any modification described in section 12-701 44
that relates to an item of the affected business entity's income, gain, 45
loss or deduction, to the extent derived from or connected with sources 46
within this state, as determined under the provisions of chapter 229, (2) 47
multiplied by six and ninety-nine-hundredths per cent. If the amount 48
calculated under subdivision (1) of this subsection results in a net loss, 49
such net loss may be carried forward to succeeding taxable years until 50
fully used. 51
(d) If an affected business entity, the lower-tier entity, is a member 52
of another affected business entity, the upper-tier entity, the lower-tier 53
entity shall, when calculating the amount under subdivision (1) of 54
subsection (c) of this section, subtract its distributive share of income 55
or add its distributive share of loss from the upper-tier entity to the 56
extent that the income or loss was derived from or connected with 57
sources within this state. 58
(e) [(1)] A nonresident individual who is a member of an affected 59
business entity shall not be required to file an income tax return under 60
the provisions of chapter 229 for a taxable year if, for such taxable year, 61
the only source of income derived from or connected with sources 62
within this state for such member, or the member and the member's 63
spouse if a joint federal income tax return is or shall be filed, is from 64
one or more affected business entities and such [affected business 65
entity or entities file and pay the tax due under this section] 66
nonresident individual member's tax under chapter 229 would be fully 67
satisfied by the credit allowed to such individual under subparagraph 68
(A) of subdivision (1) of subsection (g) of this section. 69
[(2) The provisions of subdivision (1) of this subsection shall not 70
apply to a nonresident individual who is a member of an affected 71
business entity that elects to file its return on a combined basis under 72
subsection (j) of this section if such nonresident individual member's 73
tax under chapter 229 would not be fully satisfied by the credit 74
allowed to such individual under subparagraph (A) of subdivision (1) 75
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of subsection (g) of this section.] 76
(f) Each affected business entity shall report to each of its members, 77
for each taxable year, such member's direct [pro rata] share of the tax 78
imposed under this section on such affected business entity and 79
indirect [pro rata] share of the tax imposed on any upper-tier entity of 80
which such affected business entity is a member. 81
(g) (1) (A) Each person that is subject to the tax imposed under 82
chapter 229 and is a member of an affected business entity shall be 83
entitled to a credit against the tax imposed under said chapter, other 84
than the tax imposed under section 12-707. Such credit shall be in an 85
amount equal to such person's direct and indirect [pro rata] share of 86
the tax due and paid under this section by any affected business entity 87
of which such person is a member multiplied by ninety-three and one-88
hundredths per cent. If the amount of the credit allowed pursuant to 89
this subdivision exceeds such person's tax liability for the tax imposed 90
under said chapter, the commissioner shall treat such excess as an 91
overpayment and, except as provided in section 12-739 or 12-742, shall 92
refund the amount of such excess, without interest, to such person. 93
(B) Each person that is subject to the tax imposed under chapter 229 94
as a resident or a part-year resident of this state and is a member of an 95
affected business entity shall also be entitled to a credit against the tax 96
imposed under said chapter, other than the tax imposed under section 97
12-707, for such person's direct and indirect [pro rata] share of taxes 98
paid to another state of the United States or the District of Columbia, 99
on income of any affected business entity of which such person is a 100
member that is derived therefrom, provided the taxes paid to another 101
state of the United States or the District of Columbia results from a tax 102
that the commissioner determines is substantially similar to the tax 103
imposed under this section. Any such credit shall be calculated in the 104
manner prescribed by the commissioner, which shall be consistent 105
with the provisions of section 12-704. 106
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(2) Each company that is subject to the tax imposed under chapter 107
208 and is a member of an affected business entity shall be entitled to a 108
credit against the tax imposed under said chapter. Such credit shall be 109
in an amount equal to such company's direct and indirect [pro rata] 110
share of the tax paid under this section by any affected business entity 111
of which such company is a member multiplied by ninety-three and 112
one-hundredths per cent. Such credit shall be applied after all other 113
credits are applied and shall not be subject to the limits imposed under 114
section 12-217zz. Any credit that is not used in the income year during 115
which the affected business entity incurs the tax under this section 116
shall be carried forward to each of the succeeding income years by the 117
company until such credit is fully taken against the tax under chapter 118
208. 119
(h) Upon the failure of any affected business entity to pay the tax 120
due under this section within thirty days of the due date, the 121
provisions of section 12-35, as amended by this act, shall apply with 122
respect to the enforcement of this section and the collection of such tax. 123
The warrant therein provided for shall be signed by the commissioner 124
or an authorized agent of the commissioner. The amount of any such 125
tax, penalty and interest shall be a lien, from the last day of the last 126
month of the taxable year next preceding the due date of such tax until 127
discharged by payment, against all real estate of the taxpayer within 128
the state, and a certificate of such lien signed by the commissioner may 129
be recorded in the office of the clerk of any town in which such real 130
estate is situated, provided no such lien shall be effective as against 131
any bona fide purchaser or qualified encumbrancer of any interest in 132
any such property. When any tax with respect to which a lien has been 133
recorded under the provisions of this section has been satisfied, the 134
commissioner, upon request of any interested party, shall issue a 135
certificate discharging such lien, which certificate shall be recorded in 136
the same office in which the lien was recorded. Any action for the 137
foreclosure of such lien shall be brought by the Attorney General in the 138
name of the state in the superior court for the judicial district in which 139
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the property subject to such lien is situated, or, if such property is 140
located in two or more judicial districts, in the superior court for any 141
one such judicial district, and the court may limit the time for 142
redemption or order the sale of such property or make such other or 143
further decree as it judges equitable. 144
(i) If any tax is not paid when due as provided in this section, there 145
shall be added to the amount of the tax interest at the rate of one per 146
cent per month or fraction thereof from the date the tax became due 147
until it is paid. 148
(j) (1) Any affected business entity subject to tax under this section 149
may elect to file a combined return together with one or more other 150
commonly-owned affected business entities subject to tax under this 151
section. Each affected business entity making such election shall 152
submit written notice of such election to file a combined return, 153
including the written consent of the other commonly-owned affected 154
business entities to such election, to the commissioner not later than 155
the due date, or if an extension of time to file has been requested and 156
granted, the extended due date, of the returns due from such entities. 157
An affected business entity shall submit such written notice and 158
consent for each taxable year such entity makes the election under this 159
subdivision. Each affected business entity electing to file a combined 160
return under this subdivision shall be jointly and severally liable for 161
the tax due under this section. For the purposes of this subdivision, 162
"commonly-owned" means that more than eighty per cent of the voting 163
control of an affected business entity is directly or indirectly owned by 164
a common owner or owners, either corporate or noncorporate. 165
Whether voting control is indirectly owned shall be determined in 166
accordance with Section 318 of the Internal Revenue Code. 167
(2) Except as provided in subdivision (5) of this subsection, affected 168
business entities that elect to file a combined return under subdivision 169
(1) of this subsection shall net the amounts each such entity calculates 170
under subdivision (1) of subsection (c) of this section after such 171
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amounts are separately apportioned or allocated by each affected 172
business entity in accordance with this section. 173
(3) Affected business entities that elect to file a combined return 174
under subdivision (1) of this subsection shall report to the 175
commissioner the portion of the direct and indirect [pro rata] share of 176
the tax paid with the combined return that is allocated to each of their 177
members. Such report shall be filed with the combined return and the 178
allocation reported shall be irrevocable. 179
(4) The election made under this subsection shall not affect the 180
calculation of tax due under any other provision of the general statutes 181
other than with respect to the calculation of the credits under 182
subsection (g) of this section. 183
(5) Affected business entities that elect to file a combined return 184
under subdivision (1) of this subsection shall calculate their tax due in 185
accordance with subsection (c) of this section unless each such entity 186
elects under subsection (k) of this section to calculate its tax due on the 187
alternative basis under subsection (l) of this section. If such election is 188
made, the affected business entities shall net their alternative tax bases 189
instead of netting the amounts under subdivision (2) of this subsection. 190
(k) In lieu of calculating the tax due in accordance with subsection 191
(c) of this section, any affected business entity may elect to calculate 192
the tax due on the alternative basis under subsection (l) of this section. 193
An affected business entity making such election shall submit to the 194
commissioner written notice of such election not later than the due 195
date, or if an extension of time to file has been requested and granted, 196
the extended due date, of the return due from such entity. An affected 197
business entity shall submit such written notice for each taxable year 198
such entity makes the election under this subsection. The election 199
made under this subsection shall not affect the calculation of tax due 200
under any other provision of the general statutes other than with 201
respect to the calculation of the credits under subsection (g) of this 202
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section. 203
(l) (1) The tax due from an affected business entity making the 204
election under subsection (k) of this section shall be equal to six and 205
ninety-nine-hundredths per cent multiplied by the alternative tax base. 206
The alternative tax base shall be equal to the resident portion of 207
unsourced income plus modified Connecticut source income. 208
(2) For the purposes of this subsection: 209
(A) "Resident portion of unsourced income" means unsourced 210
income multiplied by a percentage equal to the sum of the ownership 211
interests in the affected business entity owned by members who are 212
residents of this state, as defined in section 12-701; 213
(B) "Unsourced income" means the separately and nonseparately 214
computed items, as described in Section 702(a) of the Internal Revenue 215
Code with respect to a partnership or Section 1366 of the Internal 216
Revenue Code with respect to an S corporation, of the affected 217
business entity, excluding any item treated as an itemized deduction 218
for federal income tax purposes, plus any item described in Section 219
707(c) of the Internal Revenue Code with respect to a partnership, 220
regardless of the location from which such item is derived or 221
connected, as increased or decreased by any modification described in 222
section 12-701, that relates to an item of the affected business entity's 223
income, gain, loss or deduction, regardless of the location from which 224
such item is derived or connected, less (i) the amount determined 225
under subdivision (1) of subsection (c) of this section, determined 226
without regard to subsection (d) of this section, and (ii) (I) the 227
separately and nonseparately computed items, as described in Section 228
702(a) of the Internal Revenue Code, of the affected business entity, 229
excluding any item treated as an itemized deduction for federal 230
income tax purposes, plus any item described in Section 707(c) of the 231
Internal Revenue Code with respect to a partnership, to the extent any 232
such items under this subclause are derived from or connected with 233
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sources within another state that has jurisdiction to subject the affected 234
business entity to tax, as determined under the provisions of chapter 235
229, (II) as increased or decreased by any modification described in 236
section 12-701, that relates to an item of the affected business entity's 237
income, gain or deduction, to the extent derived from or connected 238
with sources within another state that has jurisdiction to subject the 239
affected business entity to tax, as determined under the provisions of 240
chapter 229; and 241
(C) "Modified Connecticut source income" means the amount 242
calculated under subdivision (1) of subsection (c) of this section 243
multiplied by a percentage equal to the sum of the ownership interests 244
in the affected business entity owned by members that are (i) subject to 245
tax under chapter 229, or (ii) affected business entities to the extent 246
such entities are directly or indirectly owned by persons subject to tax 247
under chapter 229. A member that is an affected business entity shall 248
be presumed to be directly or indirectly owned by persons subject to 249
tax under chapter 229 unless the affected business entity subject to tax 250
under this section can establish otherwise by clear and convincing 251
evidence to the satisfaction of the commissioner. 252
(m) The provisions of sections 12-723, 12-725 and 12-728 to 12-737, 253
inclusive, shall apply to the provisions of this section in the same 254
manner and with the same force and effect as if the language of said 255
sections had been incorporated in full into this section and had 256
expressly referred to the tax under this section, except to the extent 257
that any such provision is inconsistent with a provision of this section. 258
Sec. 2. Subdivision (1) of subsection (b) of section 12-699a of the 259
general statutes is repealed and the following is substituted in lieu 260
thereof (Effective July 1, 2019, and applicable to taxable years commencing 261
on or after January 1, 2019): 262
(b) (1) Each affected business entity required to pay the tax imposed 263
under section 12-699, as amended by this act, and whose required 264
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annual payment for the taxable year is greater than or equal to one 265
thousand dollars shall make the required annual payment each taxable 266
year, in four required estimated tax installments on the following due 267
dates: (A) For the first required installment, the fifteenth day of the 268
fourth month of the taxable year; (B) for the second required 269
installment, the fifteenth day of the sixth month of the taxable year; (C) 270
for the third required installment, the fifteenth day of the ninth month 271
of the taxable year, and (D) for the fourth required installment, the 272
fifteenth day of the first month of the next succeeding taxable year. An 273
affected business entity may elect to pay any required installment prior 274
to the specified due date. Except as provided in subdivision (2) of this 275
subsection, the amount of each required installment shall be twenty-276
five per cent of the required annual payment. 277
Sec. 3. Subdivision (8) of subsection (a) of section 3-20j of the general 278
statutes is repealed and the following is substituted in lieu thereof 279
(Effective from passage): 280
(8) "Withholding taxes" means taxes required to be deducted and 281
withheld [by employers from the wages and salaries of employees] 282
pursuant to sections 12-705 and 12-706 and paid [by employers] to the 283
Commissioner of Revenue Services pursuant to section 12-707 [as a 284
credit for income taxes payable by such employees, and includes, 285
without limitation, taxes deducted and withheld pursuant to sections 286
12-705 and 12-706] upon receipt by the state and including penalty and 287
interest charges on such taxes. 288
Sec. 4. Subdivision (2) of subsection (b) of section 12-35 of the 289
general statutes is repealed and the following is substituted in lieu 290
thereof (Effective October 1, 2019): 291
(2) Any such warrant on any intangible personal property of any 292
person may be served by electronic mail, [or] facsimile machine or 293
other electronic means on any third person in possession of, or 294
obligated with respect to, receivables, bank accounts, evidences of 295
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debt, securities, salaries, wages, commissions, compensation or other 296
intangible personal property subject to such warrant, ordering such 297
third person to forthwith deliver such property or pay the amount due 298
or payable to the state collection agency that has made out such 299
warrant, provided such warrant may be issued only after the state 300
collection agency making out such warrant has notified the person 301
owning such property, in writing, of its intention to issue such 302
warrant. The notice of intent shall be: (A) Given in person; (B) left at 303
the dwelling or usual place of business of such person; or (C) sent by 304
certified mail, return receipt requested, to such person's last-known 305
address, not less than thirty days before the day the warrant is to be 306
issued. Any such warrant for tax due may further include an order to 307
such third person to continually deliver, during the one hundred 308
eighty days immediately following the date of issuance of the warrant 309
or until the tax is fully paid, whichever occurs earlier, all intangible 310
personal property that is due and that becomes due to the person 311
owing the tax. Except as otherwise provided in this subdivision, such 312
warrant shall have the same force and effect as an execution issued 313
pursuant to chapter 906. 314
Sec. 5. Subparagraph (B) of subdivision (2) of section 12-408 of the 315
general statutes is repealed and the following is substituted in lieu 316
thereof (Effective from passage and applicable to claims for credit received on 317
or after such date): 318
(B) Whenever such tax, payable by the consumer (i) with respect to 319
a charge account or credit sale, [occurring on or after July 1, 1984,] is 320
remitted by the retailer to the commissioner and such sale as an 321
account receivable is determined to be worthless and is actually 322
written off as uncollectible for federal income tax purposes, or (ii) to a 323
retailer who computes taxable income, for purposes of taxation under 324
the Internal Revenue Code of 1986, or any subsequent corresponding 325
internal revenue code of the United States, as amended from time to 326
time, [amended,] on the cash basis method of accounting with respect 327
to a sale, [occurring on or after July 1, 1989,] is remitted by the retailer 328
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to the commissioner and such sale as an account receivable is 329
determined to be worthless, the amount of such tax remitted may be 330
credited against the tax due on the sales tax return filed by the retailer 331
for the monthly or quarterly period, whichever is applicable, next 332
following the period in which such amount is actually so written off, 333
but in no event shall such credit be allowed later than three years 334
following the date such tax is remitted, unless the credit relates to a 335
period for which a waiver is given pursuant to subsection (g) of section 336
12-415. The commissioner shall, by regulations adopted in accordance 337
with the provisions of chapter 54, provide standards for proving any 338
such claim for credit. If any payment is made by a consumer with 339
respect to an account, such payment shall be applied first toward the 340
sales tax, and if any account with respect to which such credit is 341
allowed is thereafter collected by the retailer in whole or in part, the 342
amount so collected, up to the amount of the sales tax for which the 343
credit was claimed, shall be included in the sales tax return covering 344
the period in which such collection occurs. The tax applicable in any 345
such case shall be determined in accordance with the rate of sales tax 346
in effect at the time of the original sale. 347
Sec. 6. Section 12-435 of the general statutes is repealed and the 348
following is substituted in lieu thereof (Effective July 1, 2019): 349
Each distributor of alcoholic beverages shall pay a tax to the state on 350
all sales within the state of alcoholic beverages, except sales to licensed 351
distributors, sales of alcoholic beverages [which] that, in the course of 352
such sales, are actually transported to some point without the state and 353
except [malt beverages which are] beer that is consumed on the 354
premises covered by a manufacturer's permit, at the rates for the 355
respective categories of alcoholic beverages listed below: 356
[(a)] (1) Beer, seven dollars and twenty cents for each barrel, three 357
dollars and sixty cents for each half barrel, one dollar and eighty cents 358
for each quarter barrel and twenty-four cents per wine gallon or 359
fraction thereof on quantities less than a quarter barrel; 360
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[(b)] (2) Liquor, five dollars and forty cents per wine gallon; 361
[(c)] (3) Still wines containing not more than twenty-one per cent of 362
absolute alcohol, except as provided in [subsections (g) and (h)] 363
subdivisions (7) and (8) of this section, seventy-two cents per wine 364
gallon; 365
[(d)] (4) Still wines containing more than twenty-one per cent of 366
absolute alcohol and sparkling wines, one dollar and eighty cents per 367
wine gallon; 368
[(e)] (5) Alcohol in excess of 100 proof, five dollars and forty cents 369
per proof gallon; 370
[(f)] (6) Liquor coolers containing not more than seven per cent of 371
alcohol by volume, two dollars and forty-six cents per wine gallon; 372
[(g)] (7) Still wine containing not more than twenty-one per cent of 373
absolute alcohol, produced by a person who produces not more than 374
fifty-five thousand wine gallons of wine during the calendar year, 375
eighteen cents per wine gallon, provided such person presents to each 376
distributor of alcoholic beverages described in this section a certificate, 377
issued by the commissioner, stating that such person produces not 378
more than fifty-five thousand wine gallons of wine during the calendar 379
year. The commissioner is authorized to issue such certificates, 380
prescribe the procedures for obtaining such certificates and prescribe 381
their form; and 382
[(h)] (8) Cider containing not more than seven per cent of absolute 383
alcohol shall be subject to the same rate as applies to beer, as provided 384
in [subsection (a)] subdivision (1) of this section. 385
Sec. 7. Section 12-790a of the general statutes is repealed and the 386
following is substituted in lieu thereof (Effective from passage): 387
(a) As used in sections 12-790a to 12-790c, inclusive, "attorney", 388
"certified public accountant", "commissioner", "creditor", "facilitator", 389
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"refund anticipation check", "refund anticipation loan", "return", "tax 390
preparation services" and "tax preparer" have the same meanings as 391
provided in section 12-790, and "commercial tax return preparation 392
business" means a person that employs tax preparers. 393
(b) (1) On and after January 1, 2019, no person, except as provided 394
in subsection (e) of this section, shall engage in the business of, solicit 395
business as or advertise as furnishing tax preparation services or acting 396
as a facilitator or make representations to be a tax preparer or 397
facilitator, without a tax preparer permit or a facilitator permit, as 398
applicable, issued by the commissioner. Each applicant for such permit 399
and renewal of such permit shall apply by electronic means in the form 400
and manner prescribed by the commissioner. 401
(2) Each individual applying for a permit shall (A) be eighteen years 402
of age or older, (B) have obtained a high school diploma, (C) possess a 403
preparer tax identification number issued by the Internal Revenue 404
Service that shall be used by the tax preparer or facilitator for each 405
return such tax preparer is required to sign and each refund 406
anticipation loan or refund anticipation check such facilitator is 407
required to sign, and (D) for a tax preparer, present evidence 408
satisfactory to the commissioner that the applicant has experience, 409
education or training in tax preparation services, which evidence shall 410
include, on and after January 1, [2020] 2022, a certificate of completion 411
of an annual filing season program administered by the Internal 412
Revenue Service. 413
(3) The commissioner may issue a permit under this subsection to 414
an applicant that presents evidence satisfactory to the commissioner 415
that the applicant is authorized to act as a tax preparer or facilitator in 416
a state that has professional requirements substantially similar to the 417
requirements for tax preparers or facilitators in this state. The 418
commissioner shall provide written notice of the commissioner's 419
decision approving or denying an application for issuance or renewal 420
of a permit not later than sixty days after receipt of the application. 421
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(4) The fee for an initial application shall be one hundred dollars. A 422
permit issued pursuant to this subsection shall expire after two years 423
and a tax preparer or facilitator seeking renewal shall submit a renewal 424
application and renewal fee of fifty dollars. 425
(5) If an individual acts as both a tax preparer and a facilitator, the 426
commissioner shall issue a single permit covering both activities. 427
(c) (1) If, at any time following the issuance or renewal of a permit 428
issued pursuant to subsection (b) of this section, any information 429
provided to the commissioner by the tax preparer or facilitator is no 430
longer accurate, such tax preparer or facilitator shall promptly provide 431
updated information to the commissioner. 432
(2) The issuance of a tax preparer permit or a facilitator permit shall 433
not be advertised as an endorsement by the commissioner of the tax 434
preparer's or facilitator's services. 435
(d) (1) On and after January 1, 2019, the commissioner may impose 436
on any tax preparer or facilitator that has not been issued a permit 437
pursuant to this section a civil penalty of one hundred dollars for each 438
day that the commissioner finds such tax preparer or facilitator to have 439
provided tax preparation services or acted as a facilitator. 440
(2) On and after January 1, 2019, if a tax preparer, facilitator or 441
commercial tax return preparation business employs an individual to 442
provide tax preparation services or a person to act as a facilitator that 443
is not exempt under subsection (e) of this section and has not been 444
issued a permit pursuant to this section, the commissioner may impose 445
on such employing tax preparer, facilitator or business a civil penalty 446
of five hundred dollars per violation. 447
(3) On and after January 1, 2019, whenever a tax preparer ceases to 448
engage in the preparation of or in advising or assisting in the 449
preparation of personal income tax returns or a facilitator ceases to 450
engage in the activities of a facilitator, such tax preparer or facilitator 451
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may apply to the commissioner for inactive permit status. A permit 452
that is granted inactive status shall not require renewal, except that 453
such permit may be reactivated before its expiration upon application 454
to the commissioner with a payment of the renewal fee. 455
(4) A tax preparer or facilitator whose permit is inactive shall 456
neither act as a tax preparer or facilitator nor advertise such tax 457
preparer's or facilitator's status as being permitted to act as a tax 458
preparer or facilitator. 459
(e) The following persons shall be exempt from the provisions of 460
sections 12-790a to 12-790c, inclusive: 461
(1) An accountant holding (A) an active license issued by the State 462
Board of Accountancy, or (B) a valid and active permit, license or 463
equivalent professional credential issued by another state or 464
jurisdiction of the United States; 465
(2) An attorney and any person engaged in providing tax 466
preparation services under the supervision of such attorney; 467
(3) An individual enrolled to practice before the Internal Revenue 468
Service under Circular 230; 469
(4) An individual employed by a local, state or federal 470
governmental agency while engaged in the performance of such 471
person's official duties; 472
(5) An individual serving as an employee of or assistant to a tax 473
preparer or a person exempted under this subsection, in the 474
performance of official duties for such tax preparer or exempt person; 475
(6) An individual employed, full-time or part-time, to act as a tax 476
preparer solely for the business purposes of such individual's 477
employer; 478
(7) A person acting as a fiduciary on behalf of an estate; and 479
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(8) An Internal Revenue Services qualified volunteer tax preparer, 480
including, but not limited to, a tax preparer sponsored by the Tax 481
Counseling for the Elderly program or the Volunteer Income Tax 482
Assistance program. 483
(f) The commissioner shall maintain a public registry containing the 484
names and principal business address of each person holding a permit 485
pursuant to this section. 486
(g) The commissioner shall keep confidential any personal financial 487
information gathered pursuant to an investigation of any alleged 488
violation of sections 12-790a to 12-790c, inclusive, unless disclosure is 489
(1) considered necessary for the investigation or prosecution of an 490
alleged violation of this section or any regulation or order adopted 491
thereunder, or (2) otherwise expressly authorized under the provisions 492
of federal or state law. For purposes of this subsection, "personal 493
financial information" includes, but is not limited to, returns and 494
return information, as defined under federal and state law. 495
Sec. 8. Section 13b-121 of the general statutes is repealed and the 496
following is substituted in lieu thereof (Effective from passage): 497
(a) As used in this section, "transportation network company" and 498
"prearranged ride" have the same meanings as provided in section 13b-499
116. 500
(b) Each transportation network company shall pay a fee of twenty-501
five cents on each prearranged ride that originates in this state. 502
(c) On or before the last day of the month next succeeding each 503
calendar quarter, each transportation network company shall: (1) File a 504
return electronically for the preceding period with the Commissioner 505
of Revenue Services on such forms as the commissioner may prescribe; 506
and (2) make payment of the fees required under subsection (b) of this 507
section by electronic funds transfer in the manner provided by chapter 508
228g. Any document received and maintained by the commissioner 509
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with respect to a transportation network company shall be return 510
information, as defined in section 12-15, and shall not be subject to 511
disclosure under the Freedom of Information Act, as defined in section 512
1-200. 513
(d) Any fees due and unpaid under this section shall be subject to 514
the penalties and interest established in section 12-547 and the amount 515
of such fee, penalty or interest, due and unpaid, may be collected 516
under the provisions of section 12-35, as amended by this act, as if they 517
were taxes due to the state. 518
(e) The provisions of sections 12-548, 12-550 to 12-554, inclusive, as 519
amended by this act, and 12-555b shall apply to the provisions of this 520
section in the same manner and with the same force and effect as if the 521
language of said sections had been incorporated in full into this section 522
and had expressly referred to the fee imposed under this section, 523
except to the extent that any such provision is inconsistent with a 524
provision of this section. 525
(f) Any fees received under this section shall be deposited into the 526
General Fund. For revenue reporting purposes only, the Commissioner 527
of Revenue Services shall include any such fees with the revenue 528
reported under chapter [222] 225. 529
(g) The Commissioner of Revenue Services, in consultation with the 530
Commissioner of Transportation, may adopt regulations in accordance 531
with the provisions of chapter 54, to carry out the provisions of this 532
section. 533
Sec. 9. Subsection (b) of section 32-9t of the general statutes is 534
repealed and the following is substituted in lieu thereof (Effective from 535
passage and applicable to income years commencing on or after such date): 536
(b) There is established an urban and industrial site reinvestment 537
program under which taxpayers who make investments in eligible 538
urban reinvestment projects or eligible industrial site investment 539
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projects may be allowed a credit against the tax imposed under 540
[chapters 207 to 212a, inclusive,] chapter 207, 208, 208a, 209, 210, 211 or 541
212 or section 38a-743, or a combination of [said] such taxes, in an 542
amount equal to the percentage of their approved investment 543
determined in accordance with subsection (i) of this section. 544
Sec. 10. Section 12-3a of the general statutes is repealed and the 545
following is substituted in lieu thereof (Effective from passage): 546
(a) There is created a Penalty Review Committee, which shall 547
consist of the State Comptroller or an employee of the office of the 548
State Comptroller designated by said Comptroller, the Secretary of the 549
Office of Policy and Management or an employee of the Office of 550
Policy and Management designated by said secretary and the 551
Commissioner of Revenue Services or an employee of the Department 552
of Revenue Services designated by said commissioner. Said committee 553
shall meet monthly or as often as necessary to approve any waiver of 554
penalty in excess of [one] five thousand dollars, which the 555
Commissioner of Revenue Services is authorized to waive in 556
accordance with this title, or which the Commissioner of Consumer 557
Protection is authorized to waive in accordance with chapter 226. A 558
majority vote of the committee shall be required for approval of such 559
waiver. 560
(b) An itemized statement of all waivers approved under this 561
section shall be available to the public for inspection by any person. 562
(c) The Penalty Review Committee created pursuant to subsection 563
(a) of this section shall adopt regulations, in accordance with chapter 564
54, establishing guidelines for the waiver of any penalty in [excess of 565
one thousand dollars] accordance with this section. 566
(d) Any person aggrieved by the action of the Penalty Review 567
Committee may, [within one month] not later than thirty days after 568
notice of such action is delivered or mailed to such person, appeal 569
therefrom to the superior court for the judicial district of New Britain, 570
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which shall be accompanied by a citation to the members of said 571
committee to appear before said court. Such citation shall be signed by 572
the same authority, and such appeal shall be returnable at the same 573
time and served and returned in the same manner as is required in 574
case of a summons in a civil action. The authority issuing the citation 575
shall take from the appellant a bond or recognizance to the state of 576
Connecticut with surety to prosecute the appeal to effect and to 577
comply with the orders and decrees of the court in the premises. Such 578
appeals shall be preferred cases, to be heard, unless cause appears to 579
the contrary, at the first session, by the court or by a committee 580
appointed by it. Said court may grant such relief as may be equitable. 581
If the appeal is without probable cause, the court may tax double or 582
triple costs, as the case demands; and, upon all such appeals which 583
may be denied, costs may be taxed against the appellant at the 584
discretion of the court, but no costs shall be taxed against the state. 585
Sec. 11. Section 12-208 of the general statutes is repealed and the 586
following is substituted in lieu thereof (Effective from passage): 587
(a) Any company subject to any tax or charge under this chapter 588
that is aggrieved by the action of the commissioner or [his] the 589
commissioner's authorized agent in fixing the amount of any tax, 590
penalty, interest or charge provided for by this chapter may apply to 591
the commissioner, in writing, [within] not later than sixty days after 592
the notice of such action is delivered or mailed to [it] the company, for 593
a hearing and a correction of the amount of such tax, penalty, interest 594
or charge, so fixed, setting forth the reasons why such hearing should 595
be granted and the amount in which such tax, penalty, interest or 596
charge should be reduced. The commissioner shall promptly consider 597
each such application and may grant or deny the hearing requested. If 598
the hearing is denied, the applicant shall be notified forthwith. If it is 599
granted, the commissioner shall notify the applicant of the time and 600
place fixed for such hearing. After such hearing the commissioner may 601
make such order in the premises as appears to him just and lawful and 602
shall furnish a copy of such order to the applicant. The commissioner 603
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may, by notice in writing, at any time within three years after the date 604
when any return of any such person has been due, order a hearing on 605
his own initiative and require such person or any other individual 606
whom [he] the commissioner believes to be in possession of relevant 607
information concerning such person to appear before [him or his] the 608
commissioner or the commissioner's authorized agent with any 609
specified books of account, papers or other documents, for 610
examination under oath. 611
(b) Any company subject to any tax or charge under this chapter 612
that is aggrieved because of any order, decision, determination or 613
disallowance of the Commissioner of Revenue Services made under 614
this chapter may, [within one month] not later than thirty days after 615
service of notice of such order, decision, determination or 616
disallowance, take an appeal therefrom to the superior court for the 617
judicial district of New Britain, which appeal shall be accompanied by 618
a citation to the Commissioner of Revenue Services to appear before 619
said court. Such citation shall be signed by the same authority, and 620
such appeal shall be returnable at the same time and served and 621
returned in the same manner, as is required in case of a summons in a 622
civil action. The authority issuing the citation shall take from the 623
appellant a bond or recognizance to the state of Connecticut, with 624
surety, to prosecute the appeal to effect and to comply with the orders 625
and decrees of the court in the premises. Such appeals shall be 626
preferred cases, to be heard, unless cause appears to the contrary, at 627
the first session, by the court or by a committee appointed by the court. 628
Said court may grant such relief as may be equitable and, if such tax or 629
charge has been paid prior to the granting of such relief, may order the 630
[State] Treasurer to pay the amount of such relief, with interest at the 631
rate of two-thirds of one per cent per month or fraction thereof, to such 632
aggrieved person. If the appeal has been taken without probable cause, 633
the court may tax double or triple costs, as the case demands; and, 634
upon all such appeals which are denied, costs may be taxed against the 635
appellant at the discretion of the court, but no costs shall be taxed 636
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against the state. 637
Sec. 12. Section 12-237 of the general statutes is repealed and the 638
following is substituted in lieu thereof (Effective from passage): 639
Any taxpayer aggrieved because of any order, decision, 640
determination or disallowance of the Commissioner of Revenue 641
Services under the provisions of this part may, [within one month] not 642
later than thirty days after service upon the taxpayer of notice of such 643
order, decision, determination or disallowance, take an appeal 644
therefrom to the superior court for the judicial district of New Britain, 645
which shall be accompanied by a citation to the Commissioner of 646
Revenue Services to appear before said court. Such citation shall be 647
signed by the same authority, and such appeal shall be returnable at 648
the same time and served and returned in the same manner, as is 649
required in case of a summons in a civil action. The authority issuing 650
the citation shall take from the appellant a bond or recognizance to the 651
state of Connecticut, with surety to prosecute the appeal to effect and 652
to comply with the orders and decrees of the court in the premises. 653
Such appeals shall be preferred cases, to be heard, unless cause 654
appears to the contrary, at the first session, by the court or by a 655
committee appointed by it. Said court may grant such relief as may be 656
equitable and, if such tax has been paid prior to the granting of such 657
relief, may order the Treasurer to pay the amount of such relief, with 658
interest at the rate of eight per cent per annum, to the aggrieved 659
taxpayer. If the appeal has been taken without probable cause, the 660
court may tax double or triple costs, as the case demands; and, upon 661
all such appeals which may be denied, costs may be taxed against the 662
appellant at the discretion of the court, but no costs shall be taxed 663
against the state. 664
Sec. 13. Subsection (b) of section 12-263v of the general statutes is 665
repealed and the following is substituted in lieu thereof (Effective from 666
passage): 667
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(b) Any taxpayer subject to any tax or fee under section 12-263q or 668
12-263r that is aggrieved because of any order, decision, determination 669
or disallowance of the commissioner made under sections 12-263q to 670
12-263u, inclusive, or subsection (a) of this section may, not later than 671
[one month] thirty days after service of notice of such order, decision, 672
determination or disallowance, take an appeal therefrom to the 673
superior court for the judicial district of New Britain, which appeal 674
shall be accompanied by a citation to the commissioner to appear 675
before said court. Such citation shall be signed by the same authority 676
and such appeal shall be returnable at the same time and served and 677
returned in the same manner as is required in case of a summons in a 678
civil action. The authority issuing the citation shall take from the 679
appellant a bond or recognizance to the state of Connecticut, with 680
surety, to prosecute the appeal to effect and to comply with the orders 681
and decrees of the court in the premises. Such appeals shall be 682
preferred cases, to be heard, unless cause appears to the contrary, at 683
the first session, by the court or by a committee appointed by the court. 684
Said court may grant such relief as may be equitable and, if such tax or 685
charge has been paid prior to the granting of such relief, may order the 686
Treasurer to pay the amount of such relief, with interest at the rate of 687
two-thirds of one per cent per month or fraction thereof, to such 688
taxpayer. If the appeal has been taken without probable cause, the 689
court may tax double or triple costs, as the case demands and, upon all 690
such appeals that are denied, costs may be taxed against such taxpayer 691
at the discretion of the court but no costs shall be taxed against the 692
state. 693
Sec. 14. Section 12-268l of the general statutes is repealed and the 694
following is substituted in lieu thereof (Effective from passage): 695
Any taxpayer aggrieved because of any order, dec ision, 696
determination or disallowance of the Commissioner of Revenue 697
Services made under the provisions of chapter 210, 211 or 212 or this 698
chapter may, [within one month] not later than thirty days after service 699
upon the taxpayer of notice of such order, decision, determination or 700
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LCO No. 5690 24 of 35
disallowance, take an appeal therefrom to the superior court for the 701
judicial district of New Britain, which shall be accompanied by a 702
citation to the Commissioner of Revenue Services to appear before said 703
court. Such citation shall be signed by the same authority, and such 704
appeal shall be returnable at the same time and served and returned in 705
the same manner, as is required in case of a summons in a civil action. 706
The authority issuing the citation shall take from the appellant a bond 707
or recognizance to the state of Connecticut, with surety to prosecute 708
the appeal to effect and to comply with the orders and decrees of the 709
court in the premises. Such appeals shall be preferred cases, to be 710
heard, unless cause appears to the contrary, at the first session, by the 711
court or by a committee appointed by it. Said court may grant such 712
relief as may be equitable and, if such tax has been paid prior to the 713
granting of such relief, may order the Treasurer to pay the amount of 714
such relief, with interest at the rate of two-thirds of one per cent per 715
month or fraction thereof to the aggrieved taxpayer. If the appeal has 716
been taken without probable cause, the court may tax double or triple 717
costs, as the case demands; and, upon all such appeals which may be 718
denied, costs may be taxed against the appellant at the discretion of the 719
court, but no costs shall be taxed against the state. 720
Sec. 15. Section 12-312 of the general statutes is repealed and the 721
following is substituted in lieu thereof (Effective from passage): 722
Any person aggrieved because of any decision, order, determination 723
or disallowance of the commissioner under the provisions of this 724
chapter may, [within one month] not later than thirty days after service 725
upon such person of notice of such decision, order, determination or 726
disallowance, appeal therefrom to the superior court for the judicial 727
district of New Britain, which appeal shall be accompanied by a 728
citation to the Commissioner of Revenue Services to appear before said 729
court. Such citation shall be signed by the same authority, and such 730
appeal shall be returnable at the same time and served and returned in 731
the same manner, as is required in case of a summons in a civil action. 732
The authority issuing the citation shall take from the appellant a bond 733
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or recognizance to the state of Connecticut, with surety to prosecute 734
the appeal to effect and to comply with the orders and decrees of the 735
court in the premises. Such appeals shall be preferred cases, to be 736
heard, unless cause appears to the contrary, at the first session, by the 737
court or by a committee appointed by it. Said court may grant such 738
relief as may be equitable and, if such tax has been paid prior to the 739
granting of such relief, may order the Treasurer to pay the amount of 740
such relief, with interest at the rate of two-thirds of one per cent per 741
month or fraction thereof, to the aggrieved taxpayer. If the appeal has 742
been taken without probable cause, the court may tax double or triple 743
costs, as the case demands; and, upon all such appeals which are 744
denied, costs may be taxed against the appellant at the discretion of the 745
court, but no costs shall be taxed against the state. 746
Sec. 16. Section 12-330m of the general statutes is repealed and the 747
following is substituted in lieu thereof (Effective from passage): 748
Any person aggrieved because of any decision, order, determination 749
or disallowance of the commissioner under the provisions of this 750
chapter may, [within one month] not later than thirty days after service 751
upon such person of notice of such decision, order, determination or 752
disallowance, appeal therefrom to the superior court for the judicial 753
district of New Britain, which appeal shall be accompanied by a 754
citation to the commissioner to appear before said court. Such citation 755
shall be signed by the same authority, and such appeal shall be 756
returnable at the same time and served and returned in the same 757
manner, as is required in case of a summons in a civil action. The 758
authority issuing the citation shall take from the appellant a bond or 759
recognizance to the state of Connecticut, with surety to prosecute the 760
appeal to effect and to comply with the orders and decrees of the court 761
in the premises. Such appeals shall be preferred cases, to be heard, 762
unless cause appears to the contrary, at the first session, by the court or 763
by a committee appointed by it. Said court may grant such relief as 764
may be equitable and, if such tax has been paid prior to the granting of 765
such relief, may order the Treasurer to pay the amount of such relief, 766
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with interest at the rate of six per cent per annum, to the aggrieved 767
taxpayer. If the appeal has been taken without probable cause, the 768
court may tax double or triple costs, as the case demands; and, upon 769
all such appeals which are denied, costs may be taxed against the 770
appellant at the discretion of the court, but no costs shall be taxed 771
against the state. 772
Sec. 17. Section 12-422 of the general statutes is repealed and the 773
following is substituted in lieu thereof (Effective from passage): 774
Any taxpayer aggrieved because of any order, decision, 775
determination or disallowance of the Commissioner of Revenue 776
Services under section 12-418, 12-421 or 12-425 may, [within one 777
month] not later than thirty days after service upon the taxpayer of 778
notice of such order, decision, determination or disallowance, take an 779
appeal therefrom to the superior court for the judicial district of New 780
Britain, which shall be accompanied by a citation to the Commissioner 781
of Revenue Services to appear before said court. Such citation shall be 782
signed by the same authority, and such appeal shall be returnable at 783
the same time and served and returned in the same manner, as is 784
required in case of a summons in a civil action. The authority issuing 785
the citation shall take from the appellant a bond or recognizance to the 786
state of Connecticut, with surety to prosecute the appeal to effect and 787
to comply with the orders and decrees of the court in the premises. 788
Such appeals shall be preferred cases, to be heard, unless cause 789
appears to the contrary, at the first session, by the court or by a 790
committee appointed by it. Said court may grant such relief as may be 791
equitable and, if such tax has been paid prior to the granting of such 792
relief, may order the Treasurer to pay the amount of such relief, with 793
interest at the rate of two-thirds of one per cent per month or fraction 794
thereof, to the aggrieved taxpayer. If the appeal has been taken 795
without probable cause, the court may tax double or triple costs, as the 796
case demands; and, upon all such appeals which are denied, costs may 797
be taxed against the appellant at the discretion of the court, but no 798
costs shall be taxed against the state. 799
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Sec. 18. Section 12-448 of the general statutes is repealed and the 800
following is substituted in lieu thereof (Effective from passage): 801
Any taxpayer aggrieved because of any decision, order, 802
determination or disallowance of the Commissioner of Revenue 803
Services under the provisions of this chapter may, [within one month] 804
not later than thirty days after service upon such taxpayer of notice of 805
such decision, order, determination or disallowance, take an appeal 806
therefrom to the superior court for the judicial district of New Britain, 807
which appeal shall be accompanied by a citation to the Commissioner 808
of Revenue Services to appear before said court. Such citation shall be 809
signed by the same authority, and such appeal shall be returnable at 810
the same time and served and returned in the same manner, as is 811
required in case of a summons in a civil action. The authority issuing 812
the citation shall take from the appellant a bond or recognizance to the 813
state of Connecticut, with surety to prosecute the appeal to effect and 814
to comply with the orders and decrees of the court in the premises. 815
Such appeals shall be preferred cases, to be heard, unless cause 816
appears to the contrary, at the first session, by the court or by a 817
committee appointed by the court. Said court may grant such relief as 818
may be equitable, and, if such tax has been paid prior to the granting 819
of such relief, may order the Treasurer to pay the amount of such 820
relief, with interest at the rate of two-thirds of one per cent per month 821
or fraction thereof, to the aggrieved taxpayer. If the appeal has been 822
taken without probable cause, the court may tax double or triple costs, 823
as the case demands; and, upon all such appeals which are denied, 824
costs may be taxed against the appellant at the discretion of the court, 825
but no costs shall be taxed against the state. 826
Sec. 19. Section 12-463 of the general statutes is repealed and the 827
following is substituted in lieu thereof (Effective from passage): 828
Any distributor aggrieved because of any order, decision, 829
determination or disallowance of the commissioner made under this 830
chapter may, [within one month] not later than thirty days after service 831
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of notice of such order, decision, determination or disallowance, take 832
an appeal therefrom to the superior court for the judicial district of 833
New Britain, which shall be accompanied by a citation to the 834
Commissioner of Revenue Services to appear before said court. Such 835
citation shall be signed by the same authority, and such appeal shall be 836
returnable at the same time and served and returned in the same 837
manner, as is required in case of a summons in a civil action. The 838
authority issuing the citation shall take from the appellant a bond or 839
recognizance to the state of Connecticut, with surety, to prosecute the 840
appeal to effect and to comply with the orders and decrees of the court 841
in the premises. Such appeals shall be preferred cases, to be heard, 842
unless cause appears to the contrary, at the first session, by the court or 843
by a committee appointed by it. Said court may grant such relief as 844
may be equitable and, if such tax has been paid prior to the granting of 845
such relief, may order the Treasurer to pay the amount of such relief, 846
with interest at the rate of two-thirds of one per cent per month or 847
fraction thereof to the aggrieved distributor. If the appeal has been 848
taken without probable cause, the court may tax double or triple costs, 849
as the case demands; and, upon all such appeals which may be denied, 850
costs may be taxed against the appellant at the discretion of the court, 851
but no costs shall be taxed against the state. 852
Sec. 20. Section 12-489 of the general statutes is repealed and the 853
following is substituted in lieu thereof (Effective from passage): 854
(a) Any motor carrier aggrieved by any act of the commissioner or 855
[his] the commissioner's authorized agent under this chapter may 856
apply to the commissioner, in writing, [within] not later than sixty 857
days after notification of any such act of the commissioner is delivered 858
or mailed to [it] the motor carrier, for a hearing and a correction of the 859
amount of any tax, penalty or interest, setting forth reasons why such 860
hearing should be granted and the amount by which such tax, penalty 861
or interest should be reduced. The commissioner shall promptly 862
consider each such application and may grant or deny the hearing 863
requested. If the hearing is denied, the applicant shall be notified 864
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forthwith. If it is granted, the commissioner shall notify the applicant 865
of the time and place fixed for such hearing. After such hearing the 866
commissioner may make such order in the premises as appears to 867
[him] the commissioner just and lawful and shall furnish a copy of 868
such order to the applicant. The commissioner may, by notice in 869
writing, at any time within three years after the date when any return 870
of any taxpayer has been due, order a hearing on [his] the 871
commissioner's own initiative and require the taxpayer or any 872
individual whom [he] the commissioner believes to be in possession of 873
relevant information concerning the taxpayer to appear before [him or 874
his] the commissioner or the commissioner's authorized agent with 875
any specified books of account, papers or other documents, for 876
examination under oath. 877
(b) Any motor carrier aggrieved because of any order, decision, 878
determination or disallowance of the commissioner made under this 879
chapter may, [within one month] not later than thirty days after service 880
of notice of such order, decision, determination or disallowance, take 881
an appeal therefrom to the superior court for the judicial district of 882
New Britain, which shall be accompanied by a citation to the 883
Commissioner of Revenue Services to appear before said court. Such 884
citation shall be signed by the same authority, and such appeal shall be 885
returnable at the same time and served and returned in the same 886
manner, as is required in case of a summons in a civil action. The 887
authority issuing the citation shall take from the appellant a bond or 888
recognizance to the state of Connecticut, with surety, to prosecute the 889
appeal to effect and to comply with the orders and decrees of the court 890
in the premises. Such appeals shall be preferred cases, to be heard, 891
unless cause appears to the contrary, at the first session, by the court or 892
by a committee appointed by it. Said court may grant such relief as 893
may be equitable and, if any tax or fee has been paid prior to the 894
granting of such relief, may order the Treasurer to pay the amount of 895
such relief, with interest at the rate of two-thirds of one per cent per 896
month or fraction thereof to the aggrieved motor carrier. If the appeal 897
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has been taken without probable cause, the court may tax double or 898
triple costs, as the case demands; and, upon all such appeals which are 899
denied, costs may be taxed against the appellant at the discretion of the 900
court, but no costs shall be taxed against the state. 901
Sec. 21. Section 12-554 of the general statutes is repealed and the 902
following is substituted in lieu thereof (Effective from passage): 903
Any taxpayer aggrieved because of any order, decision, 904
determination or disallowance of the Commissioner of Revenue 905
Services under the provisions of this chapter may, [within one month] 906
not later than thirty days after service upon the taxpayer of notice of 907
such order, decision, determination or disallowance, take an appeal 908
therefrom to the superior court for the judicial district of New Britain, 909
which shall be accompanied by a citation to the Commissioner of 910
Revenue Services to appear before said court. Such citation shall be 911
signed by the same authority, and such appeal shall be returnable at 912
the same time and served and returned in the same manner, as is 913
required in case of summons in a civil action. The authority issuing the 914
citation shall take from the appellant a bond or recognizance to the 915
state of Connecticut, with surety to prosecute the appeal to effect and 916
to comply with the orders and decrees of the court in the premises. 917
Such appeals shall be preferred cases to be heard, unless cause appears 918
to the contrary, at the first session by the court or by a committee 919
appointed by it. Said court may grant such relief as may be equitable 920
and, if such tax has been paid prior to the granting of such relief, may 921
order the Treasurer to pay the amount of such relief, with interest at 922
the rate of two-thirds of one per cent per month or fraction thereof, to 923
the aggrieved taxpayer. If the appeal has been taken without probable 924
cause, the court may tax double or triple costs, as the case demands; 925
and, upon all such appeals which may be denied, costs may be taxed 926
against the appellant at the discretion of the court, but no costs shall be 927
taxed against the state. 928
Sec. 22. Subsection (d) of section 12-586g of the general statutes is 929
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LCO No. 5690 31 of 35
repealed and the following is substituted in lieu thereof (Effective from 930
passage): 931
(d) If the tribe is aggrieved due to any assessment levied pursuant to 932
such compact and this section or by any failure to adjust an excess 933
assessment in accordance with the provisions of the compact and this 934
section, it may, [within one month from] not later than thirty days after 935
the time provided for the payment of such assessment, appeal 936
therefrom in accordance with the terms of the compact, to the superior 937
court for the judicial district of New Britain, which appeal shall be 938
accompanied by a citation to the Commissioner of Consumer 939
Protection to appear before said court. Such citation shall be signed by 940
the same authority, and such appeal shall be returnable at the same 941
time and served and returned in the same manner as is required in 942
case of a summons in a civil action. Proceedings in such matter shall be 943
conducted in the same manner as provided for in section 38a-52. 944
Sec. 23. Section 12-597 of the general statutes is repealed and the 945
following is substituted in lieu thereof (Effective from passage): 946
Any taxpayer aggrieved because o f any order, decision, 947
determination or disallowance of the Commissioner of Revenue 948
Services made in relation to the tax imposed under section 12-587 may, 949
[within one month] not later than thirty days after service upon the 950
taxpayer of notice of such order, decision, determination or 951
disallowance, take an appeal therefrom to the superior court for the 952
judicial district of New Britain, which shall be accompanied by a 953
citation to said commissioner to appear before said court. Such citation 954
shall be signed by the same authority and such appeal shall be 955
returnable at the same time and served and returned in the same 956
manner as is required in case of a summons in a civil action. The 957
authority issuing the citation shall take from the appellant a bond or 958
recognizance to the state of Connecticut with surety to prosecute the 959
appeal to effect and to comply with the orders and decrees of the court 960
in the premises. Such appeals shall be preferred cases, to be heard, 961
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unless cause appears to the contrary, at the first session, by the court or 962
by a committee appointed by it. If the appeal has been taken without 963
probable cause, the court may tax double or triple costs, as the case 964
demands and upon all such appeals which may be denied, costs may 965
be taxed against the appellant at the discretion of the court, but no 966
costs shall be taxed against the state. 967
Sec. 24. Section 12-638i of the general statutes is repealed and the 968
following is substituted in lieu thereof (Effective from passage): 969
(a) Any taxpayer, aggrieved by the action of the commissioner or 970
[his] the commissioner's authorized agent in fixing the amount of any 971
tax, penalty or interest provided for by this chapter may apply to the 972
commissioner, in writing, [within] not later than sixty days after notice 973
of such action is delivered or mailed to [him] the taxpayer, for a 974
hearing and a correction of the amount of the tax, penalty or interest so 975
fixed, setting forth the reasons why such hearing should be granted 976
and the amount of the tax, penalty or interest should be reduced. The 977
commissioner shall promptly consider each such application and may 978
grant or deny the hearing requested. If the hearing is denied, the 979
applicant shall be notified thereof forthwith. If it is granted, the 980
commissioner shall notify the applicant of the time and place fixed for 981
such hearing. After such hearing the commissioner may make such 982
order in the premises as appears to [him] the commissioner just and 983
lawful and shall furnish a copy of such order to the applicant. The 984
commissioner may, by notice in writing, at any time within three years 985
after the date when any return of any taxpayer has been due, order a 986
hearing on [his] the commissioner's own initiative and require the 987
taxpayer or any other individual whom [he] the commissioner believes 988
to be in possession of relevant information concerning the taxpayer to 989
appear before [him or his] the commissioner or the commissioner's 990
authorized agent with any specified books of account, papers or other 991
documents, for examination under oath. 992
(b) Any taxpayer aggrieved because of any order, decision, 993
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determination or disallowance of the Commissioner of Revenue 994
Services under the provisions of this chapter may, [within one month] 995
not later than thirty days after service upon the taxpayer of notice of 996
such order, decision, determination or disallowance, take an appeal 997
therefrom to the superior court for the judicial district of New Britain, 998
which shall be accompanied by a citation to the Commissioner of 999
Revenue Services to appear before said court. Such citation shall be 1000
signed by the same authority and such appeal shall be returnable at 1001
the same time and served and returned in the same manner, as is 1002
required in case of summons in a civil action. The authority issuing the 1003
citation shall take from the appellant a bond or recognizance to the 1004
state of Connecticut with surety to prosecute the appeal to effect and to 1005
comply with the orders and decrees of the court in the premises. Such 1006
appeals shall be preferred cases to be heard, unless cause appears to 1007
the contrary, at the first session by the court or by a committee 1008
appointed by it. Said court may grant such relief as may be equitable 1009
and, if such tax has been paid prior to the granting of such relief, may 1010
order the Treasurer to pay the amount of such relief, with interest at 1011
the rate of two-thirds of one per cent per month or fraction thereof, to 1012
the aggrieved taxpayer. If the appeal has been taken without probable 1013
cause, the court may tax double or triple costs, as the case demands 1014
and, upon all such appeals which may be denied, costs may be taxed 1015
against the appellant at the discretion of the court, but no costs shall be 1016
taxed against the state. 1017
Sec. 25. Section 12-730 of the general statutes is repealed and the 1018
following is substituted in lieu thereof (Effective from passage): 1019
Notwithstanding the provisions of chapter 54 to the contrary, any 1020
taxpayer aggrieved because of any determination or disallowance by 1021
the commissioner under section 12-729, 12-729a or 12-732 may, [within 1022
one month] not later than thirty days after notice of the commissioner's 1023
determination or disallowance is mailed to the taxpayer, take an 1024
appeal therefrom to the superior court for the judicial district of New 1025
Britain, which shall be accompanied by a citation to the commissioner 1026
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to appear before said court. Such citation shall be signed by the same 1027
authority, and such appeal shall be returnable at the same time and 1028
served and returned in the same manner, as is required in case of a 1029
summons in a civil action. The authority issuing the citation shall take 1030
from the appellant a bond or recognizance to the state of Connecticut, 1031
with surety to prosecute the appeal to effect and to comply with the 1032
orders and decrees of the court in the premises. Such appeals shall be 1033
preferred cases, to be heard unless cause appears to the contrary, at the 1034
first session by the court or by a committee appointed by it. Said court 1035
may grant such relief as may be equitable and, if such tax has been 1036
paid prior to the granting of such relief, may order the Treasurer to 1037
pay the amount of such relief, with interest at the rate of two-thirds of 1038
one per cent per month or fraction thereof, to the aggrieved taxpayer. 1039
If the appeal has been taken without probable cause, the court may 1040
charge double or triple costs, as the case demands, and upon all such 1041
appeals which may be denied, costs may be taxed against the appellant 1042
at the discretion of the court but no costs shall be taxed against the 1043
state. 1044
Sec. 26. Sections 12-390a to 12-390e of the general statutes are 1045
repealed. (Effective from passage) 1046
This act shall take effect as follows and shall amend the following
sections:
Section 1 July 1, 2019, and
applicable to taxable years
commencing on or after
January 1, 2019
12-699
Sec. 2 July 1, 2019, and
applicable to taxable years
commencing on or after
January 1, 2019
12-699a(b)(1)
Sec. 3 from passage 3-20j(a)(8)
Sec. 4 October 1, 2019 12-35(b)(2)
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Sec. 5 from passage and
applicable to claims for
credit received on or after
such date
12-408(2)(B)
Sec. 6 July 1, 2019 12-435
Sec. 7 from passage 12-790a
Sec. 8 from passage 13b-121
Sec. 9 from passage and
applicable to income years
commencing on or after
such date
32-9t(b)
Sec. 10 from passage 12-3a
Sec. 11 from passage 12-208
Sec. 12 from passage 12-237
Sec. 13 from passage 12-263v(b)
Sec. 14 from passage 12-268l
Sec. 15 from passage 12-312
Sec. 16 from passage 12-330m
Sec. 17 from passage 12-422
Sec. 18 from passage 12-448
Sec. 19 from passage 12-463
Sec. 20 from passage 12-489
Sec. 21 from passage 12-554
Sec. 22 from passage 12-586g(d)
Sec. 23 from passage 12-597
Sec. 24 from passage 12-638i
Sec. 25 from passage 12-730
Sec. 26 from passage Repealer section
Statement of Purpose:
To implement the Department of Revenue Services' recommendations
for minor revisions to the tax and related statutes.
[Proposed deletions are enclosed in brackets. Proposed additions are indicated by underline,
except that when the entire text of a bill or resolution or a section of a bill or resolution is new, it is
not underlined.]