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General Assembly Raised Bill No. 7376
January Session, 2019
LCO No. 5580
Referred to Committee on FINANCE, REVENUE AND
BONDING
Introduced by:
(FIN)
AN ACT CONCERNING NE XUS PROVISIONS FOR CERTA IN
DISASTER-RELATED OR EMERGENCY -RELATED WORK
PERFORMED IN THE STA TE.
Be it enacted by the Senate and House of Representatives in General
Assembly convened:
Section 1. (NEW) (Effective from passage) (a) As used in this section: 1
(1) "Public service company" has the same meaning as provided in 2
section 16-1 of the general statutes; 3
(2) "Critical infrastructure" means real property and tangible 4
personal property, including, but not limited to, buildings, lines, poles, 5
pipes, structures and equipment, owned or used by a public service 6
company to generate, transmit or distribute such company's product 7
or service in the state; 8
(3) "State disaster or emergency" means a disaster or an emergency 9
event for which (A) the Governor has issued a proclamation of a 10
disaster or an emergency pursuant to chapter 517 of the general 11
statutes, or (B) the President of the United States has issued a 12
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declaration of the existence in the state of a major disaster or an 13
emergency; 14
(4) "Disaster-related or emergency-related work" means repairing, 15
renovating, installing, constructing or rendering services to critical 16
infrastructure in the state that has been damaged, impaired or 17
destroyed by a state disaster or emergency; 18
(5) "Disaster response period" means the period (A) commencing on 19
the date of issuance of the proclamation or declaration of a state 20
disaster or emergency, and (B) ending sixty calendar days after the 21
Governor has proclaimed or the President has declared, as applicable, 22
the end of such disaster or emergency; 23
(6) "Out-of-state business" means a business entity that, in the 24
income or taxable year immediately preceding the state disaster or 25
emergency, was not registered with the state or any political 26
subdivision thereof, did not submit any tax filings to the state and did 27
not derive income from sources within the state. "Out-of-state 28
business" includes a business entity that (A) was present in the state or 29
conducted operations in the state, to perform disaster-related or 30
emergency-related work, but otherwise satisfies the provisions of this 31
subdivision, or (B) is affiliated with a registered business solely 32
through common ownership and otherwise satisfies the provisions of 33
this subdivision; 34
(7) "Out-of-state employee" means an employee of an out-of-state 35
business who does not work in the state, other than performing 36
disaster-related or emergency-related work during a disaster response 37
period; and 38
(8) "Registered business" means a business entity that is registered 39
with the Secretary of the State to do business in the state prior to the 40
state disaster or emergency. 41
(b) Notwithstanding any provision of title 12 of the general statutes 42
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or subsection (c) of section 14-34a of the general statutes, no out-of-43
state business or out-of-state employee who is present in the state or 44
conducts operations in the state, to perform disaster-related or 45
emergency-related work during a disaster response period, shall be 46
deemed to have established sufficient presence in the state to require 47
such business or employee to (1) register with the state or any political 48
subdivision thereof, (2) be subject to property tax or state taxes, other 49
than transaction taxes and fees including, but not limited to, sales and 50
use taxes, fuel taxes or charges or fees on rental passenger motor 51
vehicles, rental trucks or rental machinery, unless such transaction 52
taxes or fees are suspended or otherwise exempted during a disaster 53
response period, (3) submit any tax filing to the state, or (4) be licensed 54
by the state, provided such business or employee is properly 55
registered, licensed or otherwise authorized under the laws of another 56
state to perform disaster-related or emergency-related work. 57
(c) For purposes of any tax imposed on income or gross receipts, all 58
activities of an out-of-state business that is present in the state or 59
conducts operations in the state, to perform disaster-related or 60
emergency-related work during a disaster response period, shall be 61
disregarded with respect to any filing required for such tax, including, 62
but not limited to, a combined unitary tax return. 63
(d) (1) Any out-of-state business that is present in the state or 64
conducts operations in the state, to perform disaster-related or 65
emergency-related work during a disaster response period, shall 66
provide, upon request by the Secretary of the State, a written statement 67
that such business is in the state for purposes of responding to the state 68
disaster or emergency. Such statement shall include the out-of-state 69
business's name, state of domicile, principal business address, 70
telephone number, electronic mail address, federal tax identification 71
number and date of entry into the state, and may be provided 72
electronically. 73
(2) The Secretary of the State may request a registered business that 74
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is an affiliate of such out-of-state business to provide the written 75
statement and information set forth in subdivision (1) of this 76
subsection. Such registered business shall also include the registered 77
business's name, principal business address, telephone number and 78
electronic mail address. 79
(e) Any out-of-state business or out-of-state employee who remains 80
in the state after the disaster response period shall be subject to all 81
other laws that provide standards to establish presence in the state and 82
shall comply with any provision of the general statutes that becomes 83
applicable to such business or employee due to such presence. 84
This act shall take effect as follows and shall amend the following
sections:
Section 1 from passage New section
Statement of Purpose:
To specify that out-of-state businesses and out-of-state employees with
no connection to the state other than performing disaster-related or
emergency-related work in the state shall not be deemed to have
established presence or residency in the state by virtue of performing
such work.
[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.]