Sec. 12-411. The use tax. (1) Imposition and rate. An excise tax is hereby imposed on the storage, acceptance, consumption or any other use in this state of tangible
personal property purchased from any retailer for storage, acceptance, consumption or
any other use in this state, the acceptance or receipt of any services constituting a sale
in accordance with subdivision (2) of subsection (a) of section 12-407, purchased from
any retailer for consumption or use in this state, or the storage, acceptance, consumption
or any other use in this state of tangible personal property which has been manufactured,
fabricated, assembled or processed from materials by a person, either within or without
this state, for storage, acceptance, consumption or any other use by such person in this
state, to be measured by the sales price of materials, at the rate of six per cent of the
sales price of such property or services, except, in lieu of said rate of six per cent, (A)
at a rate of twelve per cent of the rent paid for occupancy of any room or rooms in a
hotel or lodging house for the first period of not exceeding thirty consecutive calendar
days, (B) with respect to the storage, acceptance, consumption or use in this state of a
motor vehicle purchased from any retailer for storage, acceptance, consumption or use
in this state by any individual who is a member of the armed forces of the United States
and is on full-time active duty in Connecticut and who is considered, under 50 App USC
574, a resident of another state, or to any such individual and the spouse of such individual at a rate of four and one-half per cent of the sales price of such vehicle, provided
such retailer requires and maintains a declaration by such individual, prescribed as to
form by the commissioner and bearing notice to the effect that false statements made
in such declaration are punishable, or other evidence, satisfactory to the commissioner,
concerning the purchaser's state of residence under 50 App USC 574, (C) with respect
to the acceptance or receipt in this state of labor that is otherwise taxable under subparagraph (C) or (G) of subdivision (2) of subsection (a) of section 12-407 on existing vessels
and repair or maintenance services on vessels occurring on and after July 1, 1999, such
services shall be exempt from such tax, (D) (i) with respect to the acceptance or receipt
in this state of computer and data processing services purchased from any retailer for
consumption or use in this state occurring on or after July 1, 1997, and prior to July 1,
1998, at the rate of five per cent of such services, on or after July 1, 1998, and prior to
July 1, 1999, at the rate of four per cent of such services, on or after July 1, 1999, and
prior to July 1, 2000, at the rate of three per cent of such services, on or after July 1,
2000, and prior to July 1, 2001, at the rate of two per cent of such services, on and after
July 1, 2001, at the rate of one per cent of such services, and (ii) with respect to the
acceptance or receipt in this state of Internet access services, on or after July 1, 2001,
such services shall be exempt from tax, (E) with respect to the acceptance or receipt in
this state of patient care services purchased from any retailer for consumption or use in
this state for which payment is received by the hospital on or after July 1, 1999, and
prior to July 1, 2001, at the rate of five and three-fourths per cent and on and after July
1, 2001, such services shall be exempt from such tax.
(2) Liability for tax. Every person storing, accepting, consuming or otherwise using in this state services or tangible personal property purchased from a retailer for
storage, acceptance, consumption or any other use in this state and every person storing,
accepting, consuming or otherwise using in this state tangible personal property which
has been manufactured, fabricated, assembled or processed from materials purchased
from a retailer by such person, either within or without this state, for storage, acceptance,
consumption or any other use by such person in this state is liable for the tax. Such
person's liability is not extinguished until the tax has been paid to this state, except that
a receipt from a retailer engaged in business in this state or from a retailer who is authorized by the commissioner, under such regulations as the commissioner may prescribe,
to collect the tax and who is, for the purposes of this chapter relating to the use tax,
regarded as a retailer engaged in business in this state, given to the purchaser pursuant
to subdivision (3) of this section is sufficient to relieve the purchaser from further liability
for the tax to which the receipt refers.
(3) Collection by retailer. Every retailer engaged in business in this state and making sales of services or of tangible personal property for storage, acceptance, consumption or any other use in this state, not exempted under this chapter, shall, at the time of
making a sale or, if the storage, acceptance, consumption or other use is not then taxable
hereunder, at the time the storage, acceptance, consumption or use becomes taxable,
collect the use tax from the purchaser and give to the purchaser a receipt therefor in the
manner and form prescribed by the commissioner. For the purpose of uniformity of tax
collection by the retailer the tax brackets set forth in subdivision (3) of section 12-408
pertaining to the sales tax shall be employed in the computation of the tax imposed by
this section.
(4) Tax as debt. Amount collected deemed a special fund in trust for state. The
tax required to be collected by the retailer constitutes a debt owed to the retailer by the
person purchasing tangible personal property or services from such retailer. The amount
of tax, when so collected, shall be deemed to be a special fund in trust for the state of
Connecticut.
(5) Unlawful advertising. The provisions of subdivision (4) of section 12-408 pertaining to the sales tax shall apply with equal force to the use tax.
(6) Separate statement of tax. The tax required to be collected by the retailer from
the purchaser shall be displayed separately from the list price, the price advertised in
the premises, the marked price, or other price on the sales check or other proof of sales.
(7) Unlawful acts. Any person violating the provisions of subdivision (3), (5) or
(6) of this section shall be fined five hundred dollars for each offense.
(8) Registration by retailers. Every retailer selling services or tangible personal
property for storage, acceptance, consumption or any other use in this state shall register
with the commissioner and give the name and address of all agents operating in this
state, the location of all distribution or sales houses or offices or other places of business
in this state and such other information as the commissioner may require.
(9) Presumption of purchase for use; resale certificate. For the purpose of the
proper administration of this chapter and to prevent evasion of the use tax and the duty
to collect the use tax, it shall be presumed that services or tangible personal property
sold by any person for delivery in this state is sold for storage, acceptance, consumption
or other use in this state until the contrary is established. The burden of proving the
contrary is upon the person who makes the sale unless such person takes from the purchaser a certificate to the effect that the services or property is purchased for resale.
(10) Effect of certificate. The certificate relieves the person selling the services or
property from the burden of proof only if taken in good faith from a person who is
engaged in the business of selling services or tangible personal property and who holds
the permit provided for by section 12-409 and who, at the time of purchasing the services
or tangible personal property, intends to sell it in the regular course of business or is
unable to ascertain at the time of purchase whether the service or property will be sold
or will be used for some other purpose.
(11) Form of certificate. The certificate shall be signed by and bear the name and
address of the purchaser, shall indicate the number of the permit issued to the purchaser
and shall indicate the general character of the service or tangible personal property sold
by the purchaser in the regular course of business. The certificate shall be substantially
in such form as the commissioner may prescribe.
(12) Liability of purchaser. (A) If a purchaser who gives a certificate makes any
storage or use of the service or property other than retention, demonstration or display
while holding it for sale in the regular course of business, the storage or use is taxable
as of the time the service or property is first so stored or used.
(B) Notwithstanding the provisions of subparagraph (A) of this subdivision, any
storage or use by a certificated air carrier of an aircraft for purposes other than retention,
demonstration or display while holding it for sale in the regular course of business shall
not be deemed a taxable storage or use by such carrier as of the time the aircraft is first
stored or used by such carrier, irrespective of the classification of such aircraft on the
balance sheet of such carrier for accounting and tax purposes.
(13) Presumption of purchase from retailer. It shall be presumed that tangible
personal property shipped or brought to this state by the purchaser was purchased from
a retailer for storage, use or other consumption in this state.
(14) Conditions under which a purchase of service shall be considered a purchase for resale. Exception. (A) For the purpose of the proper administration of this
chapter and to prevent evasion of the use tax, a purchase of any service described in
subparagraph (I) of subdivision (2) of subsection (a) of section 12-407 shall be considered a purchase for resale only if the service to be resold is an integral, inseparable
component part of a service described in said subparagraph (I) which is to be subsequently sold by the purchaser to an ultimate consumer. The purchaser of the service
for resale shall maintain, in such form as the commissioner requires, records which
substantiate: (i) From whom the service was purchased and to whom the service was
sold; (ii) the purchase price of the service; and (iii) the nature of the service to demonstrate that the service was an integral, inseparable component part of a service described
in subparagraph (I) of subdivision (2) of subsection (a) of section 12-407 which was
subsequently sold to a consumer.
(B) Notwithstanding the provisions of subparagraph (A) of this subdivision, no
purchase of a service described in subparagraph (I) of subdivision (2) of subsection (a)
of section 12-407 by a purchaser shall be considered a purchase for resale if such service
is to be subsequently sold by the purchaser to an ultimate consumer that is affiliated
with the purchaser in the manner described in subparagraph (A) of subdivision (62) of
subsection (a) of section 12-412.
(15) Sales to certain affiliates. For the purpose of the proper administration of this
chapter and to prevent evasion of the use tax, no purchase of any service by a purchaser
shall be considered a purchase for resale if such service is to be subsequently sold by the
purchaser, without change, to an ultimate consumer that is affiliated with the purchaser in
the manner described in subparagraph (A) of subdivision (62) of subsection (a) of section
12-412.
(1949 Rev., S. 2095; 1951, 1953, June, 1955, S. 1165d; November, 1955, S. N146; 1957, P.A. 553, S. 3; 1961, P.A.
574, S. 3, 4; June, 1969, P.A. 1, S. 20; June, 1971, P.A. 5, S. 107; 8, S. 5; 1972, P.A. 285, S. 3; P.A. 73-288, S. 3, 8; P.A.
74-73, S. 3, 5; 74-338, S. 74, 94; P.A. 75-2, S. 3, 5; 75-213, S. 26-32, 53; P.A. 76-114, S. 20, 21; 76-322, S. 21, 27; P.A.
77-370, S. 11, 13; 77-604, S. 77, 84; P.A. 78-71, S. 2, 5; P.A. 80-71, S. 19, 30; June Sp. Sess. P.A. 83-1, S. 9, 15; P.A. 85-240, S. 4, 6; P.A. 88-6, S. 4; 88-314, S. 24, 54; P.A. 89-123, S. 4; 89-251, S. 199, 203; P.A. 90-148, S. 23, 34; June Sp.
Sess. P.A. 91-3, S. 113, 168; June Sp. Sess. P.A. 91-14, S. 24, 30; May Sp. Sess. P.A. 92-5, S. 27, 37; May Sp. Sess. P.A.
92-17, S. 27, 59; P.A. 93-332, S. 2, 5, 40, 42; P.A. 93-361, S. 12, 17; P.A. 95-359, S. 1, 19; P.A. 96-232, S. 2, 3; P.A. 97-243, S. 19, 20, 67; P.A. 98-110, S. 7, 27; 98-244, S. 18, 35; P.A. 99-173, S. 15, 65; P.A. 00-174, S. 6, 7, 83; June Sp. Sess.
P.A. 01-6, S. 2, 65, 85; P.A. 02-3, S. 3; 02-103, S. 7; May 9 Sp. Sess. P.A. 02-1, S. 70; P.A. 03-2, S. 26; 03-225, S. 8; June
30 Sp. Sess. P.A. 03-1, S. 96.)
History: 1961 act increased tax rate from three to three and one-half per cent; 1969 act temporarily increased tax rate
to five per cent for period from July 1, 1969, to June 30, 1971; 1971 acts made five per cent rate permanent and later
increased rate to six and one-half per cent as of September 1, 1971; 1972 act increased rate to seven per cent; P.A. 73-288
reduced rate to six and one-half per cent; P.A. 74-73 reduced rate to six per cent, effective May 31, 1974, and applicable
to taxes imposed on and after May 1, 1974; P.A. 74-338 made technical changes; P.A. 75-2 increased rate to seven per
cent; P.A. 75-213 included references to "acceptance" and "services" in Subsecs. (1) to (3) and (8) to (12); P.A. 76-114
set tax rate at three and one-half per cent for machinery and services rendered pursuant to Sec. 12-407(2)(j)(A)-(M); P.A.
76-322 clarified Subsec. (1) by specifying seven per cent "of the sales price of the property"; P.A. 77-370 reduced tax rate
on machinery to two and one-half per cent; P.A. 77-604 made technical change to section reference in Subsec. (1); P.A.
78-71 deleted provision re two and one-half per cent tax rate on machinery; P.A. 80-71 increased tax rate to seven and
one-half per cent; June Sp. Sess. P.A. 83-1 amended Subsec. (1) by providing that the acceptance or receipt of any services
constituting a sale in accordance with Subdiv. (i) of Subsec. (2) of Sec. 12-407 shall be subject to tax at the rate of seven
and one-half per cent in lieu of three and one-half per cent as previously provided; P.A. 85-240 amended Subsec. (12) to
provide that aircraft held for sale by a certificated air carrier, if stored or used for purposes other than retention, demonstration
or display, shall not be deemed to have been stored or used in a manner subject to sales tax; P.A. 88-6 amended Subdiv.
(b) of Subsec. (12) by substituting "aircraft" for "airplane" wherever the latter word appears; P.A. 88-314 amended Subsec.
(7) by increasing the fine to five hundred dollars from not more than one hundred dollars, effective July 1, 1988, and
applicable to any tax which first becomes due and payable on or after said date, to any return or report due on or after said
date, or in the case of any ongoing obligation imposed in accordance with said act, to the tax period next beginning on or
after said date; P.A. 89-123 added provisions to Subsec. (1) to establish uniformity with sales tax provisions in Subsec.
(1) of Sec. 12-408; P.A. 89-251 increased the rate of tax in Subsec. (1) from seven and one-half per cent to eight per cent
of the sales price of the property, with corresponding changes in the lower rates applicable to certain items of personal
property; P.A. 90-148 added Subsec. (14) describing conditions under which a purchase of service shall be considered a
sale for resale, effective July 1, 1990, and applicable to any purchase of service for resale on or after that date; June Sp.
Sess. P.A. 91-3 amended Subsec. (1) to reduce the general rate to six per cent, to increase the rate with respect to the
transfer of occupancy to twelve per cent and to set the rate with respect to the storage, acceptance, consumption or use of
vessels by nonresidents at the lesser of six per cent or the rate in the home state of the nonresident, effective August 22,
1991, and applicable to sales occurring on or after October 1, 1991; June Sp. Sess. P.A. 91-14 amended Subsec. (1) to
make the provisions relating to vessels effective September 19, 1991; May Sp. Sess. P.A. 92-5 amended Subsec. (1) to
make various technical and minor changes, effective June 19, 1992, and applicable to sales occurring on or after July 1,
1992; May Sp. Sess. P.A. 92-17 amended Subsec. (1) to remove the special rate on aviation fuel, provided for an affidavit,
rather than registration in the home state, as proof of out-of-state residence and made technical changes and amended
Subsecs. (1) and (2) to clarify the standards for taxation of imported property, effective June 19, 1992, and applicable to
sales occurring on or after July 1, 1992; P.A. 93-332 amended Subsec. (1) to provide that the sale of manufactured,
fabricated, assembled or processed from materials be measured by the sales price of materials, effective June 25, 1993,
and applicable to sales on or after July 1, 1993, and to exclude from tax mail order purchases of two hundred dollars or
less, effective July 1, 1993, and applicable to sales occurring on or after July 1, 1993, and amended Subsec. (4) to provide
that the tax collected constitutes a debt owed to the retailer by the purchaser and shall be deemed to be held in trust for the
state, where previously tax was considered a debt owed by the retailer, effective June 25, 1993; P.A. 93-361 amended
Subsec. (1) to delete exclusion from tax with regard to mail order purchase of two hundred dollars or less which had been
added by P.A. 93-332, effective July 1, 1993, and applicable to sales occurring on or after July 1, 1993; P.A. 95-359
amended Subdiv. (14) to add provisions re maintenance of records by purchaser of services for resale and added Subparas.
(A) to (C) listing requirements, effective July 13, 1995; P.A. 96-232 amended Subdiv. (1) to provide lower rates for tax
on sale of repair or maintenance services on vessels, effective June 6, 1996, and applicable to sales occurring on and after
July 1, 1997; P.A. 97-243 amended Subsec. (1) to add phase out of tax on computer and data processing, to add requirement
that retailer maintain affidavit or other evidence with respect to sales of motor vehicles to members of the armed forces
concerning the buyer's state of residence, to provide that the tax rate on vessels sold to nonresidents is the lesser of six per
cent or the tax rate in the state in which the individual resides, and to make technical changes and amended Subsec. (7) to
clarify that the fine is for each offense, effective June 24, 1997, and applicable to sales occurring on or after October 1,
1997; P.A. 98-110 amended Subsec. (1) to repeal Subdiv. (A) re repair or replacement parts and reletter remaining Subdivs.,
effective May 19, 1998, and applicable to sales occurring on or after January 1, 1999; P.A. 98-244 amended Subsec. (1)(c)
to allow reduction in tax rate and exemption for military when the name of the spouse is on the title of the motor vehicle,
effective June 8, 1998, and applicable to sales occurring on or after October 1, 1998; P.A. 99-173 amended Subsec. (1) to
make a technical change, to reduce the tax rate to four per cent effective July 1, 1999, to two per cent on July 1, 2000, and
eliminate the tax on July 1, 2001, for paving, painting, staining, wallpapering, roofing, siding, and exterior sheet metal
work services on residential properties, and to reduce the tax rate on hospital services from six to five and three-fourths
per cent effective June 23, 1999, and applicable to sales occurring on or after July 1, 1999; P.A. 00-174 amended Subsec.
(1) to eliminate an affidavit requirement for motor vehicle sales to armed forces personnel, to add provisions re declaration,
to delete former Subdiv. (C) re tax on certain vessels and make conforming technical changes, to provide an exemption
for certain labor to existing vessels in redesignated Subdiv. (C) and to delete requirement re furnishing of other states' tax
information by the commissioner, and amended Subsec. (9) to allow use of resale certificates in the case of sales of services
and to make a technical change for purposes of gender neutrality, effective October 1, 2000, and applicable to sales made
on or after that date; June Sp. Sess. P.A. 01-6 amended Subdiv. (1) to suspend the use tax on patient care services for the
biennium commencing July 1, 2001, and ending June 30, 2003, in Subpara. (E) effective July 1, 2001, and applicable to
sales occurring on or after that date, and to exempt Internet access services from the use tax in Subpara. (D), effective July
1, 2001; P.A. 02-3 amended Subdiv. (1) to provide that patient care services are those for which payment is received by
the hospital, effective February 28, 2002; P.A. 02-103 made technical changes; May 9 Sp. Sess. P.A. 02-1 amended Subdiv.
(1) to extend the rate for computer and data processing services until July 1, 2004, effective July 1, 2002, and applicable
to sales occurring on or after said date; P.A. 03-2 amended Subdiv. (1) to add Subpara. (F) re three per cent rate for certain
advertising and public relations services, effective February 28, 2003, and applicable to sales occurring on or after April
1, 2003; P.A. 03-225 amended Subdiv. (14) by designating existing provisions as Subpara. (A) and amending same by
replacing "sale for resale" with "purchase for resale" and making technical changes, and added new Subdivs. (14)(B) and
(15) to prohibit the setting up of a separate purchasing company to purchase enumerated services on resale for a group of
affiliates, effective October 1, 2003, and applicable to purchases occurring on or after that date; June 30 Sp. Sess. P.A. 03-11 amended Subdiv. (1) to delete sunset of tax on computer and data processing in Subpara. (D)(i), to eliminate tax on
patient care services in Subpara. (E) and to remove provisions re certain advertising or public relations services which had
been added as Subpara. (F) by P.A. 03-2, effective August 16, 2003, and applicable to sales occurring on or after July 1, 2003.
The use tax is not a tax on property but is in the nature of an excise tax upon the privilege of using, storing or consuming
property. 134 C. 295. The use tax is meant to complement the sales tax. 168 C. 597. Cited. 198 C. 168, 175. Cited. Id.,
413, 418. Cited. 206 C. 253, 254, 256, 257. Cited. 210 C. 401, 405. Cited. 213 C. 365, 367. Cited. 214 C. 292, 293, 302.
Cited. 235 C. 393, 394. Cited. Id., 737, 738. Cited. 236 C. 613, 614, 617, 624. Cited. Id., 701, 702. Cited. 238 C. 761.
Cited. 240 C. 531.
Cited. 2 CA 165, 166; reversed and case remanded with direction that judgment of trial court be set aside with judgment
directed in favor of defendant, see 198 C. 413 et seq. Cited. 24 CA 72, 75. Cited. 42 CA 310. Cited. 43 CA 744.
Cited. 19 CS 334. Cited. 44 CS 1, 2.
Subsec. (1):
Intended to complement sales tax by creating equality of taxation of purchasers. 145 C. 161. Three conditions of
subsection must exist to create taxability. 152 C. 649. Tax imposed on rental payments from July 1, 1975, does not result
in double taxation since use tax paid on property brought into the state before that date was imposed on lessors and levied
on use, while tax after that date is imposed on lessees and levied on rent. 174 C. 51, 63. Cited. 198 C. 413, 419. Cited. 211
C. 246, 255. Cited. 221 C. 166, 169, 170, 172. "Conversion of raw materials into identifiably different building components
precludes levy of the use tax on these raw materials". 222 C. 49, 50, 52-56, 59, 61, 62. Cited. 235 C. 737, 738. Cited. 238
C. 761. Cited. 240 C. 531.
Cited. 6 CA 661, 663. Cited. 42 CA 310. Cited. 43 CA 744.
Cited. 39 CS 234, 236. Cited. 44 CS 1, 3, 4. Cited. Id., 133, 135, 140, 142.
Subsec. (2):
"Storage" and "consumption" must be incident to ownership for tax to apply. 145 C. 161. Cited. 198 C. 168, 183. Cited.
Id., 413, 419. Cited. 240 C. 531.
Cited. 42 CA 310. Cited. 43 CA 744.
Cited. 39 CS 234, 237. Cited. 44 CS 1, 2. Cited. Id., 133, 142.
Subsec. (3):
Cited. 5 Conn. Cir. Ct. 403.
Subsec. (6):
Failure of contract to mention tax is not such a failure to describe condition of sale as to make reservation of title in
seller invalid as against attaching creditor of buyer. Unilateral contract does not require signature or acknowledgment of
seller. 144 C. 311.
Subsec. (8):
Cited. 217 C. 220, 222.
Subsec. (9):
Cited. 198 C. 413, 416, 419, 420.
Cited. 39 CS 234, 237.
Subsec. (10):
Cited. 198 C. 413, 416, 420.
Cited. 39 CS 234, 237.
Subsec. (12):
Cited. 198 C. 413, 416, 420, 423.
Cited. 39 CS 234, 237, 238.
Subsec. (13):
Cited. 222 C. 49, 55.
Subsec. (14):
Cited. 238 C. 761.
Sec. 12-411a. Conditional tax on out-of-state mail order companies for sales
of merchandise shipped to purchasers in Connecticut. Circumstances under which
tax will be implemented. Section 12-411a is repealed effective July 1, 1989, and applicable to sales from outside the state to destinations in the state on or after that date.
(P.A. 88-188, S. 1, 2; P.A. 89-41, S. 5, 6.)
Sec. 12-411b. Collection of use tax by certain state contractors. (a) For any
contract for provision of tangible personal property to the state entered into on or after
August 16, 2003, each department head, as defined in section 4-5, shall enter into an
agreement with the contractor pursuant to which such contractor shall agree, on its own
behalf and on behalf of each affiliate, as defined in subsection (d) of this section, of
such contractor, for the term of the state contract, to collect and remit to the state on
behalf of its customers any use tax due to the state under the provisions of this chapter
for items of tangible personal property sold by the contractor or by any of its affiliates
in the same manner as if the contractor and its affiliates were engaged in the business
of selling tangible personal property for use in this state and had sufficient nexus with
this state to be required to collect use tax due to the state.
(b) The following provisions shall apply to and be made part of any agreement
entered into pursuant to subsection (a) of this section:
(1) The contractor and its affiliates are not liable for use tax not paid to them by a
customer;
(2) A customer's payment of a use tax to the contractor or its affiliates relieves the
customer of liability for the use tax;
(3) The contractor and its affiliates shall remit all use taxes they collect from customers on or before the due date specified in the agreement, which may not be later than
the last day of the month next succeeding the end of a calendar quarter or other tax
collection period during which the tax was collected; and
(4) Any contractor or affiliate who fails to remit use taxes collected on behalf of its
customers by the due date specified in the agreement shall be subject to the interest and
penalties provided for persons required to collect sales tax under this chapter.
(c) Any agreement entered into under subsection (a) of this section may provide
that the contractor and its affiliates shall collect the use tax only on items that are subject
to the six per cent rate of tax.
(d) For purposes of this section, "affiliate" means any person, as defined in section
12-1, that controls, is controlled by, or is under common control with another person.
A person controls another person if the person owns, directly or indirectly, more than
ten per cent of the voting securities of the other person. For purposes of this subsection,
"voting security" means a security that confers upon the holder the right to vote for the
election of members of the board of directors or similar governing body of the business,
or that is convertible into, or entitles the holder to receive, upon its exercise, a security
that confers such a right to vote. "Voting security" includes a general partnership interest.
(June 30 Sp. Sess. P.A. 03-1, S. 105.)
History: June 30 Sp. Sess. P.A. 03-1 effective August 16, 2003, and applicable to sales occurring on or after July 1, 2003.
Sec. 12-412. Exemptions. Taxes imposed by this chapter shall not apply to the
gross receipts from the sale of and the storage, use or other consumption in this state
with respect to the following items:
(1) The United States, the state or subdivisions. (A) Sales of tangible personal
property or services to the United States, the state of Connecticut or any of the political
subdivisions thereof, or its or their respective agencies; (B) sales of tangible personal
property or services used to develop property which the state of Connecticut is under
contract to purchase through a long-term financing contract; (C) sales and use of any
services or tangible personal property to be incorporated into or used or otherwise consumed in (i) the demolition, remediation or preparation of the Adriaen's Landing site
and the stadium facility site for purposes of the overall project, each as defined in section
32-651, (ii) the construction of the convention center, the stadium facility and the related
parking facilities and site preparation and infrastructure improvements, each as defined
in section 32-651, or (iii) the construction of any future capital improvement to the
convention center, the stadium facility or the related parking facilities.
(2) Federal exemptions. Sales of tangible personal property or services which this
state is prohibited from taxing under the Constitution or laws of the United States.
(3) Certain utilities. (A) Gas and electricity for residential use and certain
manufacturing or agricultural production. The sale, furnishing or service of gas,
including bottled gas, and electricity when delivered to consumers through mains, lines,
pipes or bottles for use (i) in any residential dwelling or (ii) directly in agricultural
production, fabrication of a finished product to be sold or an industrial manufacturing
plant, provided the exemption under this subdivision (ii) shall only be allowed with
respect to a metered building, location or premise at which not less than seventy-five per
cent of the gas, including bottled gas, or electricity consumed at such metered building,
location or premise is used for the purpose of such production, fabrication or manufacturing. Bottled gas as used in this subsection means L.P. (propane) gas.
(B) Telephone and cable television service prior to January 1, 1990. The sale
or furnishing of telephone service and community antenna television and cable service,
provided the exemption for services described in this subparagraph shall not be applicable to any such service rendered on or after January 1, 1990.
(C) Water, steam and telegraph. The sale, furnishing or service of water, steam
and telegraph when delivered to consumers through mains, lines, pipes or bottles.
(D) Monthly charges of one hundred fifty dollars or less for electricity not
otherwise exempt. The sale or furnishing of electricity, not subject to the exemption
under subparagraph (A) of this subsection, with respect to that portion of the charges
applicable to such electricity for any month of service which is not in excess of one
hundred fifty dollars.
(E) Gas, water, steam or electricity used in furnishing same to consumers. The
sale, furnishing or service of gas, water, steam or electricity for use directly in the furnishing of gas, water, steam or electricity delivered to consumers through mains, lines or
pipes.
(4) Prescription medicine, syringes and needles. Sales of and the storage, use or
other consumption of medicine only by prescription as defined by federal or state law,
including such medicine provided for no consideration and the sales of syringes and
needles only by prescription. Sales of and the storage, use or other consumption of
materials, including materials used in packaging, which become an ingredient or component part of medicine only by prescription, as defined by federal or state law.
(5) Nonprofit charitable hospitals, nursing homes, rest homes, residential care
homes and acute care for-profit hospitals. (A) Sales of tangible personal property
or services to and by nonprofit charitable hospitals in this state, nonprofit nursing homes,
nonprofit rest homes and nonprofit residential care homes licensed by the state pursuant
to chapter 368v for the exclusive purposes of such institutions except any such service
transaction as described in subparagraph (EE) of subdivision (37) of subsection (a) of
section 12-407.
(B) Sales of tangible personal property by any organization that is exempt from
federal income tax under Section 501(a) of the Internal Revenue Code of 1986, or any
subsequent corresponding internal revenue code of the United States, as from time to
time amended, and that the United States Treasury Department has expressly determined, by letter, to be an organization that is described in Section 501(c)(3) of said
internal revenue code, which sales are made on the premises of a hospital.
(C) Sales of tangible personal property or services to an acute care, for-profit hospital, operating as an acute care, for-profit hospital as of May 12, 2004, for the purposes
of such institution in connection with the constructing and equipping of any facility of
such hospital for which a certificate of need was filed before, and is pending on, May
12, 2004.
(6) Newspapers and magazines. Repealed by P.A. 03-2, S. 58, effective April
1, 2003.
(7) Cigarettes. Former subsection (g) repealed by P.A. 80-71, S. 21, 30.
(8) Organizations exempt from federal income tax under Section 501(a) of the
Internal Revenue Code of 1986, as determined by the U.S. Treasury Department.
Exemption qualification requirements. Sales of tangible personal property or services
to any organization that is exempt from federal income tax under Section 501(a) of the
Internal Revenue Code of 1986, or any subsequent corresponding internal revenue code
of the United States, as from time to time amended, and that the United States Treasury
Department has expressly determined, by letter, to be an organization that is described
in Section 501(c)(3) or (13) of said internal revenue code. At the time of the sale that
is exempt under this subsection, the organization shall, in order to qualify for said exemption, do one of the following: (A) Present to the retailer (i) a copy of the United States
Treasury Department determination letter that was issued to such organization and (ii)
a certificate, in such form as the commissioner may prescribe, certifying that a United
States Treasury Department determination letter has been issued to such organization
and has not been revoked and that the tangible personal property or services that are
being purchased from the retailer by such organization are to be used or consumed
exclusively for the purposes for which such organization was established or (B) present
to the retailer (i) a copy of the exemption permit that was issued pursuant to this subsection by the commissioner to such organization before July 1, 1995, after a determination
of eligibility by the commissioner and (ii) a certificate, in such form as the commissioner
may prescribe, certifying that an exemption permit was issued pursuant to this subsection
by the commissioner to such organization before July 1, 1995, and was not revoked and
that the tangible personal property or services that are being purchased from the retailer
by such organization are to be used or consumed exclusively for the purposes for which
the organization was established. The organization shall be liable for the tax otherwise
imposed if such tangible personal property or services are not used or consumed exclusively for the purposes for which the organization was established.
(9) Food products sold in educational institutions and certain health and care
facilities. Sales of food products, meals, candy, confectionery and beverages, except
alcoholic beverages, in a student cafeteria, dining-hall, dormitory, fraternity or sorority
maintained in a private, public or parochial school, college or university, to members
of such institutions or organizations, including all sales of such items to such members
at such institutions or organizations using prepaid meal plan cards or arrangements; and
sales of food products, meals, candy, confectionery and beverages to patients, residents
or care recipients in hospitals, residential care homes, assisted living facilities, senior
centers, day care centers, convalescent homes, nursing homes and rest homes.
(10) Exemption of children's clothing. Repealed by June Sp. Sess. P.A. 91-3, S.
166, 168.
(11) Personal services. Professional, insurance or personal service transactions,
except any such service transaction described in subdivision (2) of subsection (a) of
section 12-407, which involve sales as inconsequential elements for which no separate
charges are made.
(12) Livestock, rabbits and poultry; feed; seeds and certain tree seedlings; fertilizer; plants; horses, except those racing at commercial race tracks. Repealed by
June Sp. Sess. P.A. 91-3, S. 166, 168.
(13) Food products. Sales of food products for human consumption. "Food products" include cereals and cereal products, milk and milk products, oleomargarine, meat
and meat products, fish and fish products, eggs and egg products, vegetables and vegetable products, fruit and fruit products, spices and salt, sugar and sugar products other
than candy and confectionery; coffee and coffee substitutes, tea, cocoa and cocoa products other than candy and confectionery. "Food products" do not include spirituous,
malt or vinous liquors, soft drinks, sodas or beverages such as are ordinarily dispensed
at bars and soda fountains, or in connection therewith, medicines except by prescription,
tonics and preparations in liquid, powdered, granular, tablet, capsule, lozenge and pill
form sold as dietary supplements or adjuncts. "Food products" also do not include meals
sold by an eating establishment or caterer. "Meal" means food products which are furnished, prepared or served in such a form and in such portions that they are ready for
immediate consumption. A meal as defined in this subsection includes food products
which are sold on a "take out" or "to go" basis and which are actually packaged or
wrapped. The sale of a meal, as defined in this subsection, is a taxable sale. "Eating
establishment" means a place where meals are sold and includes a restaurant, cafeteria,
grinder shop, pizzeria, drive-in, fast food outlet, ice cream truck, hot dog cart, refreshment stand, sandwich shop, private or social club, cocktail lounge, tavern, diner, snack
bar, or hotel or boarding house which furnishes both lodging and meals to its guests.
(14) Containers. (A) Nonreturnable containers and returnable dairy product containers when sold without the contents to persons who place the contents in the container
and sell the contents together with the container; (B) containers when sold with the
contents if the sales price of the contents is not required to be included in the measure
of the taxes imposed by this chapter; (C) returnable containers when sold with the contents in connection with a retail sale of the contents or when resold for refilling. As used
herein, "returnable containers" means containers of a kind customarily returned by the
buyer of the contents for reuse, but does not mean nonrefillable beverage containers,
as defined in subdivision (10) of section 22a-243. All other containers are "nonreturnable
containers". Nothing in this subsection shall be construed so as to tax the gross receipts
from the sale of or the storage, use or other consumption in this state of bags in which feed
for livestock and poultry, as defined in subdivision (12) of this section, is customarily
contained.
(15) Motor vehicle fuel. Sales of and the storage, use or other consumption in this
state of motor vehicle fuel (A) for use in any motor vehicle licensed or required to be
licensed to operate upon the public highways of this state, whether or not the tax imposed
under chapter 221 has been paid on such fuel, or (B) for any other use, if the tax imposed
under chapter 221 has been paid on such fuel and has not been refunded under the
provisions of chapter 221.
(16) Fuel for heating purposes. Sales of fuel used for heating purposes (i) in any
residential dwelling or (ii) in any building, location or premise utilized directly in agricultural production, fabrication of a finished product to be sold or an industrial manufacturing plant, provided the exemption under this subdivision (ii) shall only be allowed
with respect to a building, location or premise in which not less than seventy-five per
cent of the fuel used in such building, location or premise is used for the purpose of
such production, fabrication or manufacturing.
(17) Sale of meals. Former subsection (q) repealed by P.A. 83-18, S. 4, 5.
(18) Production materials. Sales of and the storage or use of materials, rope, fishing nets, tools and fuel or any substitute therefor, which become an ingredient or component part of tangible personal property to be sold or which are used directly in the fishing
industry or in an industrial plant in the actual fabrication of the finished product to be
sold. Sales of and the storage or use of materials, tools and fuel or any substitute therefor,
when such products are used directly in the furnishing of power to an industrial manufacturing plant or in the furnishing of gas, water, steam or electricity when delivered to
consumers through mains, lines or pipes.
(19) Oxygen, blood plasma, prostheses, custom-made wigs or hairpieces, hearing and vision aids, canes, crutches, walkers and wheel chairs, vital life support
equipment, apnea monitors, support hose and related repair or replacement parts
and repair services. Sales of and the storage, use or other consumption of (A) oxygen,
blood or blood plasma when sold for medical use in humans or animals; (B) artificial
devices individually designed, constructed or altered solely for the use of a particular
handicapped person so as to become a brace, support, supplement, correction or substitute for the bodily structure, including the extremities of the individual, and repair or
replacement parts and repair services rendered to property described in this subparagraph; (C) artificial limbs, artificial eyes and other equipment worn as a correction or
substitute for any functioning portion of the body, custom-made wigs or hairpieces for
persons with medically diagnosed total and permanent hair loss as a result of disease
or the treatment of disease, artificial hearing aids when designed to be worn on the
person of the owner or user, closed circuit television equipment used as a reading aid
by persons who are visually impaired and repair or replacement parts and repair services
rendered to property described in this subparagraph; (D) canes, crutches, walkers, wheel
chairs and inclined stairway chairlifts for the use of invalids and handicapped persons,
and repair or replacement parts and repair services to property described in this subparagraph; (E) any equipment used in support of or to supply vital life functions, including
oxygen supply equipment used for humans or animals, kidney dialysis machines and
any other such device used in necessary support of vital life functions, and apnea monitors, and repair or replacement parts and repair services rendered to property described
in this subparagraph; and (F) support hose that is specially designed to aid in the circulation of blood and is purchased by a person who has a medical need for such hose. Repair
or replacement parts are exempt whether purchased separately or in conjunction with the
item for which they are intended, and whether such parts continue the original function or
enhance the functionality of such item. As used in this subdivision, "repair services"
means services that are described in subparagraph (Q) or (CC) of subdivision (37) of
subsection (a) of section 12-407.
(20) Flyable aircraft. Sales of and the storage, use or other consumption, by a
manufacturer of aircraft located in this state, of flyable aircraft complete with necessary
equipment and modifications, but not separate engines and parts thereof, sold to persons
taking delivery and using such aircraft as certificated or licensed carriers of persons or
property in interstate or foreign commerce under authority of the laws of the United
States or any foreign government, or sold to any foreign government for use by such
government outside of this state, or sold to persons who are not residents of this state
and who will not use such aircraft in this state otherwise than in the removal of such
aircraft from this state.
(21) Personal property for incorporation into or used in waste treatment facilities. Sales of and the storage, use or other consumption of tangible personal property
acquired for incorporation into or used and consumed in the operation of facilities for
the treatment of industrial waste before the discharge thereof into any waters of the state
or into any sewerage system emptying into such waters, the primary purpose of which
is the reduction, control or elimination of pollution of such waters, certified as approved
for such purpose by the Commissioner of Environmental Protection. For the purposes
of this subdivision "industrial waste" means any harmful thermal effect or any liquid,
gaseous or solid substance or combination thereof resulting from any process of industry,
manufacture, trade or business or from the development or recovery of any natural
resource.
(22) Personal property incorporated into or consumed in air pollution control
facilities. Sales of and the storage, use or other consumption of tangible personal property or supplies acquired for incorporation into or used and consumed in the operation
of facilities, the primary purpose of which is the reduction, control or elimination of air
pollution, certified as approved for such purpose by the Commissioner of Environmental
Protection. Said commissioner may certify to a portion of such tangible personal property or supplies acquired for incorporation into such facilities to the extent that such
portion shall have as its primary purpose the reduction, control or elimination of air
pollution.
(23) United States and Connecticut state flags. Sales of United States and Connecticut state flags.
(24) Municipal publications, sales by public libraries or by municipal auction
and book sales by library support groups. Sales of municipal publications such as
information booklets and zoning regulations, tangible personal property sold by public
libraries, the sale of any property at auction by a municipality, and book sales by library
support groups.
(25) Unregistered motor vehicles in interstate commerce. Repealed by P.A. 95-359, S. 18, effective July 13, 1995.
(26) Items not costing more than twenty dollars each by certain nonprofit organizations and schools. Sales of items for not more than twenty dollars each by any
Connecticut eleemosynary organization, for purposes of youth activities which such
organization is formed to sponsor and support, and by any accredited elementary or
secondary school for purposes of such school or of organized activities of the students
enrolled therein.
(27) Vending machine sales of fifty cents or less. Vending machine sales of food
products. (A) Sales of any items for fifty cents or less from vending machines; or (B)
sales of food products, as defined in subsection (13) of this section, sold through coin-operated vending machines.
(28) Ambulance-type motor vehicles. Repealed by June Sp. Sess. P.A. 91-3, S.
166, 168.
(29) Personal property and services used or consumed in development, construction, rehabilitation, renovation, repair or operation of housing facilities for
low and moderate income families and persons. (A) Sales of and the storage, use or
other consumption of tangible personal property acquired for incorporation into or used
and consumed in the operation of housing facilities for low and moderate income families and persons and sales of and the acceptance, use or other consumption of any service
described in subdivision (2) of section 12-407 that is used and consumed in the development, construction, rehabilitation, renovation, repair or operation of housing facilities
for low and moderate income families and persons, provided such facilities are constructed under the sponsorship of and owned or operated by nonprofit housing organizations or housing authorities, as defined in subsection (b) of section 8-39. The nonprofit
housing organization or housing authority sponsoring the construction of or owning or
operating such housing facility shall obtain from the commissioner a letter of determination that the housing facility has, to the satisfaction of said commissioner, met all the
requirements for exemption under this subsection. At the time of any sale or purchase
that is exempt under this subsection, the purchaser shall present to the retailer a copy
of the determination letter that was issued to the nonprofit housing organization or
housing authority together with a certificate from the purchaser, in such form as the
commissioner may prescribe, certifying that the tangible personal property or services
that are being purchased from the retailer are to be used or consumed exclusively for
the purposes of incorporation into or in the development, construction, rehabilitation,
renovation, repair or operation of the housing facility identified in the letter of determination. For the purposes of this subsection, (i) "nonprofit housing organization" means
any organization which has as one of its purposes the development, construction, sponsorship or ownership of housing for low and moderate income families as stated in its
charter, if it is incorporated, or its constitution or bylaws, if it is unincorporated, and
which has received exemption from federal income tax under the provisions of Section
501(c) of the Internal Revenue Code, as amended from time to time, provided the charter
of such organization, if it is incorporated, or its constitution or bylaws, if unincorporated,
shall contain a provision that no officer, member or employee thereof shall receive or
at any future time may receive any pecuniary profit from the operation thereof, except
a reasonable compensation for services in effecting the purposes of the organization;
(ii) "housing facilities" means facilities having as their primary purpose the provision
of safe and adequate housing and related facilities for low and moderate income families
and persons, notwithstanding that said housing provides other dwelling accommodations in addition to the primary purpose of providing dwelling accommodations for low
and moderate income families; (iii) "related facilities" means those facilities defined in
subsection (d) of section 8-243; and (iv) "low and moderate income families" means
those families as defined in subsection (h) of said section 8-243.
(B) Sales of and the acceptance, use or other consumption of any service described
in subdivision (2) of section 12-407 that is used or consumed in the development, construction, renovation or operation of housing facilities for low and moderate income
families and persons, provided such facilities are owned or sponsored by a mutual housing association, as defined in subsection (b) of section 8-214f, and operated as mutual
housing by such association at a location that was conveyed to such association by the
United States Secretary of Housing and Urban Development prior to September 1, 1995.
(30) Commodities in the form traded on boards of trade and not converted to
use by purchaser. Sales and storage of any commodity in the form traded on any contract
market or other board of trade as defined in the Commodity Exchange Act, as amended,
provided this exemption shall not apply to any commodity subsequently converted to
use by a purchaser and in such event such purchaser shall be liable for the tax under
section 12-411 unless otherwise exempt under any of the provisions of this section.
(31) Printed material manufactured for purchaser in Connecticut to be delivered for use outside the state. Sales of any printed material which has been manufactured in Connecticut to the special order of a purchaser and which, within thirty days
following delivery to such purchaser, is to be delivered for use outside Connecticut,
provided such purchaser presents written certification to the seller when such material
is received by such purchaser that such material shall be delivered for use outside Connecticut within thirty days.
(32) Vessels sold in Connecticut by shipbuilder or marine dealer to be transported immediately for use out of state. Repealed by June Sp. Sess. P.A. 91-3, S. 166,
168 and June Sp. Sess. P.A. 91-14, S. 27, 30.
(33) Solar energy systems. Former subsection (gg) repealed by P.A. 84-507, S. 3, 4.
(34) Machinery used in manufacturing. Sales of and the storage, use or other
consumption of machinery used directly in a manufacturing production process. The
word "machinery" as used in this subsection means the basic machine itself, and includes
all of its component parts and contrivances, such as belts, pulleys, shafts, moving parts,
operating structures and equipment or devices, which component parts and contrivances
are used or required to control, regulate or operate the machinery or to enhance or alter
its productivity or functionality, whether such component parts and contrivances are
purchased separately or in conjunction with such machine and all replacement and repair
parts for the basic machine or for its component parts and contrivances, whether such
replacement or repair parts are purchased separately or in conjunction with such machine. For the purposes of this subsection, "machinery" includes machinery used exclusively to control or monitor an activity occurring during the manufacturing production
process and machinery used exclusively during the manufacturing production process
to test or measure materials and products being manufactured but shall not include office
equipment or data processing equipment other than numerically controlled machinery
used directly in the manufacturing process.
(35) Centers of service for elderly persons. Sales of tangible personal property
or services to any center of service for elderly persons as described in subdivision (d)
of section 17b-425.
(36) Motor vehicle driving service performed out of state. The sale of any motor
vehicle driving service to the extent of that proportionate part of gross receipts from
such service rendered which is directly related to actual driving performance outside
the state.
(37) Fuel for use in certain high-occupancy commuter vehicles. Sales of and the
storage, use or other consumption of any fuel with respect to which the tax imposed
under chapter 221 has been refunded under subdivision (11) of subsection (a) of section
12-459.
(38) Telephone equipment designed exclusively for deaf or blind persons. Sales
of and the storage, use or other consumption of any equipment designed exclusively for
use by persons who are deaf or blind for purposes of communication by telephone.
(39) Renewable energy systems or systems using cogeneration technology. Repealed by June Sp. Sess. P.A. 91-3, S. 166, 168.
(40) Commercial fishing vessels and machinery or equipment for use thereon.
(A) Sales of and the storage, use or other consumption of any vessel exclusively for
use in commercial fishing and any machinery or equipment exclusively for use on a
commercial fishing vessel by a fisherman engaged in commercial fishing as a trade or
business and to whom the Department of Revenue Services has issued a fisherman tax
exemption permit, provided (i) for the immediately preceding taxable year, or (ii) on
average, for the two immediately preceding taxable years, not less than fifty per cent
of the gross income of the purchaser, as reported for federal income tax purposes, shall
have been derived from commercial fishing, subject to proof satisfactory to the Commissioner of Revenue Services.
(B) The commissioner shall adopt regulations, in accordance with the provisions
of chapter 54, requiring periodic registration for purposes of the issuance of fisherman
tax exemption permits, including (i) a procedure related to the application for such
permit, which application shall include a declaration, in a form prescribed by the commissioner and bearing notice to the effect that false statements made in such declaration
are punishable, to be signed by the applicant, and (ii) a form of notice concerning the
penalty for misuse of such permit.
(C) (i) The Commissioner of Revenue Services may issue a fisherman tax exemption permit to an applicant, provided such applicant has satisfied the commissioner that
the applicant intends to carry on commercial fishing as a trade or business for at least
two years, notwithstanding the fact that the applicant was not engaged in commercial
fishing as a trade or business in the immediately preceding taxable year or, if the applicant
was engaged in commercial fishing as a trade or business in such immediately preceding
taxable year, notwithstanding the fact that, for such immediately preceding taxable year,
or, on average, for the two immediately preceding taxable years, less than fifty per cent
of the gross income of the applicant, as reported for federal income tax purposes, was
derived from commercial fishing.
(ii) Such applicant shall be liable for the tax otherwise imposed, during the period
commencing upon the issuance of the permit and ending two years after the date of
issuance of the permit, if commercial fishing is not carried on as a trade or business by
such applicant during such entire period.
(iii) Such applicant shall also be liable for the tax otherwise imposed, during the
period commencing upon the issuance of the permit and ending two years after the date
of issuance of the permit, if less than fifty per cent of the gross income of such applicant,
as reported for federal income tax purposes, shall have been derived from such commercial fishing for the immediately preceding taxable year, or, on average, for the two
immediately preceding taxable years.
(iv) Any applicant liable for tax under clause (ii) or (iii) of this subparagraph shall
not be eligible to be issued another permit under clause (i) of this subparagraph.
(D) The Commissioner of Revenue Services may issue a fisherman tax exemption
permit to an applicant, notwithstanding the fact that, in the applicant's immediately
preceding taxable year, less than fifty per cent of the gross income of the applicant, as
reported for federal income tax purposes, was derived from commercial fishing, provided (i) such applicant purchased, during the applicant's current or immediately preceding taxable year, a commercial fishing trade or business from a seller who was issued
a fisherman tax exemption permit by said commissioner at the time of such purchase,
and (ii) such commercial fishing shall be carried on as a trade or business by such
applicant during the period commencing upon the purchase and ending two years after
the date of purchase. Such applicant shall be liable for the tax otherwise imposed, during
the period commencing upon such purchase and ending two years after the date of
purchase, if such applicant does not carry on such commercial fishing as a trade or
business during the period commencing upon such purchase and ending two years after
the date of purchase.
(E) For purposes of this subdivision, "commercial fishing vessel" shall include any
vessel with a certificate of documentation issued by the United States Coast Guard for
coastwise fishery.
(41) Services to determine effect on human health of consumption or use of a
product or substance. Sales of services used to determine the probable consequences
in relation to human health of the consumption or other use of any product, substance
or element.
(42) Aircraft held for resale by certain air carriers and used for purposes other
than retention, demonstration or display. Repealed by P.A. 85-240, S. 5, 6.
(43) Replacement parts in enterprise zones. Sales of any replacement parts for
machinery to any business entity located in any enterprise zone designated pursuant to
section 32-70 for use within such zone.
(44) Certain motion picture, video, television and radio production and broadcast equipment. (A) Sales of and the storage, use or other consumption of any filmed
and taped television and radio programs and any materials which become an ingredient
or component part of films or tapes which are used directly in the production and transmission of finished programs (i) broadcast to the general public by a television or radio
station or (ii) used on or after October 1, 1986, for purposes of accredited medical or
surgical training, including any equipment used for such purpose; (B) sales of and the
storage, use, rental, lease or other consumption of any motion picture or video production
equipment or sound recording equipment purchased or leased for use in this state for
production activities which become an ingredient or component part of any master tapes,
records, video tapes or film produced for commercial entertainment, commercial advertising or commercial educational purposes; or (C) sales of and the storage, use, rental
or lease of equipment, including, but not limited to, antennas used directly in the production or broadcast of programs to the general public by a television or radio station.
(45) Gold or silver bullion, legal tender of any nation, rare and antique coins.
Sales of and the storage or use of rare or antique coins, gold or silver bullion and gold
or silver legal tender of any nation, traded according to its value as precious metal,
provided such exemption shall not be applicable with respect to any such sale, storage
or use in which the total value of such bullion or legal tender sold by the retailer is less
than one thousand dollars.
(46) Meals delivered to homes of persons who are elderly, disabled or otherwise
confined. Sales of home delivered meals to elderly, disabled and other homebound
persons.
(47) Articles of clothing or footwear costing under fifty dollars. Sales of any
article of clothing or footwear intended to be worn on or about the human body the cost
of which to the purchaser is less than fifty dollars. For purposes of this subdivision
clothing or footwear shall not include (A) any special clothing or footwear primarily
designed for athletic activity or protective use that is not normally worn except when
used for the athletic activity or protective use for which it was designed, and (B) jewelry,
handbags, luggage, umbrellas, wallets, watches and similar items carried on or about
the human body but not worn on the body in the manner characteristic of clothing
intended for exemption under this subdivision.
(48) Nonprescription drugs and medicines. Sales of the following drugs or medicines available for purchase without prescription for use in or on the body: Vitamin or
mineral concentrates; dietary supplements; natural or herbal drugs or medicines; products intended to be taken for coughs, colds, asthma or allergies; antihistamines; laxatives;
antidiarrheal medicines; analgesics; antibiotic, antibacterial, antiviral and antifungal
medicines; antiseptics; astringents; anesthetics; steroidal medicines; anthelmintics;
emetics and antiemetics; antacids; and any medication prepared to be used in the eyes,
ears or nose, excluding cosmetics, dentifrices, mouthwash, shaving and hair care products, soaps and deodorants.
(49) Property tax payments under motor vehicle leases. Any payment made by
a lessee of a motor vehicle to a lessor for the purpose of paying the property taxes on
any such vehicle under a lease which is otherwise subject to the taxes imposed by this
chapter if such lease requires the lessee to pay such property taxes and if a separate
statement of the amount of any such property tax payment is contained in such lease or
in any bill rendered pursuant to such lease.
(50) Lease or rental of any motion picture film for display by theater owner
or operator. The leasing or rental of any motion picture film by the owner or operator
of a motion picture theater for purposes of display at such theater.
(51) Any meal the cost of which is less than two dollars. Repealed by P.A. 89-251, S. 202, 203.
(52) Cloth or fabric purchased for noncommercial sewing. Any sale of cloth or
fabric for purposes of noncommercial sewing, made of natural or synthetic fibers and
of such composition, weight and texture as to be used commonly in clothing, and including in addition to such cloth or fabric, any items necessary in such sewing which become
a component part of the clothing so made.
(53) Disposable pads used for incontinency. Sales of certain disposable pads prepared for use in the manner of a diaper or as an underpad, and commonly used by persons
who are incontinent.
(54) Test strips and tablets, lancets and glucose monitoring equipment used in
care of diabetes and associated repair or replacement parts. Sales of test strips and
tablets, lancets and glucose monitoring equipment for purposes of certain tests and
monitoring required in the care of diabetes and repair or replacement parts for such
equipment, whether such repair or replacements parts are purchased separately or in
conjunction with the sale of such equipment, and whether such parts continue the original
function or enhance the functionality of such equipment.
(55) Certain personal property used in burial or cremation. Sales of (A) tangible
personal property by any funeral establishment performing the primary services in preparation for and the conduct of burial or cremation, provided any such property must be
used directly in the performance of such services and the total amount of such exempt
sales with respect to any single funeral may not exceed two thousand five hundred
dollars, or (B) caskets used for burial or cremation.
(56) Sales of certain items by nursing homes, rest homes, residential care
homes, convalescent homes or adult day care centers. Sales of items for not more
than one hundred dollars each by any nursing home, rest home, residential care home,
convalescent home or any adult day care center approved for such purpose by the Commissioner of Social Services, provided (1) such sales are made through a gift shop located
in such home or center and (2) any profits from such sales are retained by such home
or center for the benefit of the patients, in the case of any such home, or persons using
any such adult day care center.
(57) Items purchased with federal food stamp coupons. Sales of any items purchased with federal food stamp coupons, subject to the provisions of section 12-412e.
(58) Services related to personnel, management or research when company
rendering service and recipient are participating in a joint venture for purposes
of research and new product development. Sales of any services rendered for purposes
of (A) personnel services, (B) commercial or industrial marketing, development, testing
or research services, or (C) business analysis and management services, whenever, pursuant to a joint venture agreement, the recipient of any such services is either a corporation or a partnership and such services are rendered by one or more corporate shareholders or a corporate partner in such joint venture, and in accordance with which the
company rendering such service must have an ownership interest equivalent to not less
than twenty-five per cent of total ownership in such joint venture, provided (i) the purpose of such joint venture is directly related to production or development of new or
experimental products or systems and the marketing and support thereof, (ii) at least one
of the corporations participating in such joint venture shall have been actively engaged in
business in this state for not less than ten years, and (iii) exemption for such sales in
accordance with this subsection, with respect to any single joint venture, shall not be
allowed for a period in excess of ten consecutive years, or in the case of a joint venture
in existence prior to January 1, 1986, within the aircraft industry, for a period in excess
of thirty consecutive years, and such exemption shall be applicable to sales of such
services rendered on or after January 1, 1986.
(59) Aviation fuel used exclusively and directly in the experimental testing of
any product. Sales of and the storage, use or other consumption of any aviation fuel
used exclusively and directly in the experimental testing of any product.
(60) Motor vehicle or vessel purchased but not registered in this state by a
person who is not a resident of this state. The sale of any motor vehicle or vessel, as
defined in section 15-127, in this state when the purchaser of such motor vehicle or
vessel is not a resident of this state and does not maintain a permanent place of abode
in this state, provided such motor vehicle or vessel is not presented for registration with
the Department of Motor Vehicles in this state and such purchaser submits a declaration,
prescribed as to form by the commissioner and bearing notice to the effect that false
statements made in such declaration are punishable, or other evidence as may be requested by the Commissioner of Revenue Services concerning such purchaser's residency or place of abode.
(61) Ambulances. Repealed by June Sp. Sess. P.A. 91-3, S. 166, 168.
(62) Services rendered between parent companies and wholly-owned subsidiaries. (A) Sales of any of the services enumerated in subpragraph (I), (K) or (L) of
subdivision (2) of subsection (a) of section 12-407 that are rendered for a business entity
affiliated with the business entity rendering such service in such manner that (i) either
business entity in such transaction owns a controlling interest in the other business entity,
or (ii) a controlling interest in each business entity in such transaction is owned by the
same person or persons or business entity or business entities.
(B) For purposes of this subdivision, (i) "business entity" means a corporation, trust,
estate, partnership, limited partnership, limited liability partnership, limited liability
company, single member limited liability company, sole proprietorship, nonstock corporation or a federally-recognized Indian tribe; (ii) "controlling interest" means, in the
case of a business entity that is a corporation, ownership of stock possessing one hundred
per cent of the total combined voting power of all classes of stock entitled to vote or
one hundred per cent of the total value of shares of all classes of stock of such corporation;
in the case of a business entity that is a trust or estate, ownership of a beneficial interest
of one hundred per cent in such trust or estate; in the case of a business entity that is a
partnership, limited partnership or limited liability partnership, ownership of one hundred per cent of the profits interest or capital interest in such partnership, limited partnership or limited liability partnership; in the case of a limited liability company with more
than one member, ownership of one hundred per cent of the profits interest, capital
interest or membership interests in such limited liability company; in the case of a business entity that is a sole proprietorship or single member limited liability company,
ownership of such sole proprietorship or single member limited liability company; in
the case of a business entity that is a nonstock corporation with voting members, control
of one hundred per cent of all voting membership interests in such corporation; and in
the case of a business entity that is a nonstock corporation with no voting members,
control of one hundred per cent of the board of directors of such corporation; (iii) whether
a controlling interest in a business entity is owned shall be determined in accordance
with Section 267 of the Internal Revenue Code of 1986, or any subsequent corresponding
internal revenue code of the United States, as from time to time amended, provided
where a controlling interest is owned in a business entity other than a stock corporation,
the term "stock" as used in said Section 267 of the Internal Revenue Code means, in
the case of a partnership, limited partnership, limited liability partnership or limited
liability company treated as a partnership for federal income tax purposes, the profits
interest or capital interest in such partnership, in the case of a business entity that is a
trust or estate, the beneficial interests in such trust or estate, and in the case of a business
entity that is a nonstock corporation, the voting membership interests in such corporation, or if it has no voting members, the control of the board of directors; (iv) a business
entity has "control of" the board of directors of a nonstock corporation if one hundred
per cent of the voting members of the board of directors are either representatives of,
including ex-officio directors, or persons appointed by such business entity, or "control
of" one hundred per cent of the voting membership interests in a nonstock corporation
if one hundred per cent of the voting membership interests are held by the business
entity or by representatives of, including ex-officio members, or persons appointed by
such business entity.
(63) Items sold for use in agricultural production by a farmer engaged in such
production as a business. (A) Sales of and the storage, use or other consumption of
tangible personal property exclusively for use in agricultural production, as defined in
this subsection, by a farmer engaged in agricultural production as a trade or business
and to whom the Department of Revenue Services has issued a farmer tax exemption
permit, provided such farmer's gross income from such agricultural production, as reported for federal income tax purposes, shall have been (i) not less than two thousand
five hundred dollars for the immediately preceding taxable year, or (ii) on average, not
less than two thousand five hundred dollars for the two immediately preceding taxable
years.
(B) The Commissioner of Revenue Services shall adopt regulations in accordance
with chapter 54 requiring periodic registration for purposes of the issuance of farmer
tax exemption permits, including (i) a procedure related to the application for such
permit, such application to include a declaration, prescribed as to form by the Commissioner of Revenue Services and bearing notice to the effect that false statements made
in such declaration are punishable, to be signed by the applicant, and (ii) a form of notice
concerning the penalty for misuse of such permit.
(C) As used in this subsection, (i) "agricultural production" means engaging, as a
trade or business, in (I) the raising and harvesting of any agricultural or horticultural
commodity, (II) dairy farming, (III) forestry, (IV) the raising, feeding, caring for, shearing, training or management of livestock, including horses, bees, poultry, fur-bearing
animals or wildlife or (V) the raising and harvesting of fish, oysters, clams, mussels or
other molluscan shellfish; and (ii) "farmer" means any person engaged in agricultural
production as a trade or business.
(D) The Department of Revenue Services may issue a farmer tax exemption permit
to a farmer, notwithstanding the fact that, in the farmer's immediately preceding taxable
year, such farmer's gross income from agricultural production engaged in as a trade or
business may have been less than two thousand five hundred dollars, provided (i) such
farmer purchased, during such farmer's current or immediately preceding taxable year,
an agricultural trade or business from a seller who was issued a farmer tax exemption
permit by such department at the time of such purchase and (ii) such agricultural production shall be carried on as a trade or business by such purchaser during the period commencing upon the purchase and ending two years after the date of purchase. Such purchaser shall be liable for the tax otherwise imposed, during the period commencing
upon such purchase and ending two years after the date of purchase, if such agricultural
production is not carried on as a trade or business by such purchaser during the period
commencing upon such purchase and ending two years after the date of purchase.
(E) (i) The Department of Revenue Services, under such regulations as the Commissioner of Revenue Services may adopt in accordance with the provisions of chapter
54, may issue a farmer tax exemption permit to an applicant, provided such applicant
has satisfied the commissioner that the applicant intends to carry on agricultural production as a trade or business for at least two years, notwithstanding the fact that the applicant
was not engaged in agricultural production as a trade or business in the immediately
preceding taxable year or, if the applicant was engaged in agricultural production as a
trade or business in the immediately preceding taxable year, notwithstanding the fact
that the applicant's gross income from such agricultural production, as reported for
federal income tax purposes, was less than two thousand five hundred dollars for the
immediately preceding taxable year or, on average, less than two thousand five hundred
dollars for the two immediately preceding taxable years.
(ii) Such applicant shall be liable for the tax imposed under this chapter during the
period commencing upon the issuance of the permit and ending two years after the date
of issuance of the permit if agricultural production is not carried on as a trade or business
by such applicant during such entire period.
(iii) Such applicant shall also be liable for the tax otherwise imposed, during the
period commencing upon the issuance of the permit and ending two years after the date
of issuance of the permit, if (I) such applicant's gross income from such agricultural
production, as reported for federal income tax purposes, is less than two thousand five
hundred dollars for the immediately preceding taxable year or, on average, less than
two thousand five hundred dollars for the two immediately preceding taxable years, and
(II) such applicant's expenses from such agricultural production, as reported for federal
income tax purposes, are less than two thousand five hundred dollars for the immediately
preceding taxable year or, on average, less than two thousand five hundred dollars for
the two immediately preceding taxable years.
(iv) Any applicant liable for tax under clause (ii) or (iii) of this subparagraph shall
not be eligible to be issued another permit under clause (i) of this subparagraph.
(64) Computer-related cleaning equipment. Sales of and the storage, use or other
consumption of equipment used directly in the production and cleaning of computer
discs for purposes of creating and maintaining the atmospheric environment necessary
in the area immediately surrounding such production and cleaning process, including
with respect to such area, climate control, air quality and a positive pressure mode
adapted to the particular climate and air quality requirements of such production and
cleaning process.
(65) Molds, dies, patterns and sand handling equipment for metal casting
foundries. The purchase and sale by metal casting foundries of molds, dies, patterns
and sand handling equipment.
(66) Molds, dies and patterns for pattern shops and metal casting foundries.
The sale by pattern shops of molds, dies and patterns to metal casting foundries or their
customers for use in such foundries, and the purchase and use of such items by pattern
shops in connection with any such sales.
(67) New motor vehicles exclusively powered by clean alternative fuels. Sales
of and the storage, use or other consumption, prior to July 1, 2008, of a new motor vehicle
which is exclusively powered by a clean alternative fuel. As used in this subdivision and
subdivisions (68) and (69) of this section, "clean alternative fuel" shall mean natural
gas, hydrogen or electricity when used as a motor vehicle fuel or propane when used
as a motor vehicle fuel if such a vehicle meets the federal fleet emissions standards
under the federal Clean Air Act or any emissions standards adopted by the Commissioner
of Environmental Protection as part of the state's implementation plan under said act.
(68) Conversion equipment associated with converting vehicles to exclusive
use of clean alternative fuels or dual use of such fuel and any other fuel. Sales of
and the storage, use or other consumption, prior to July 1, 2008, of conversion equipment
incorporated into or used in converting vehicles powered by any other fuel to either
exclusive use of a clean alternative fuel or dual use of any other fuel and a clean alternative fuel, including, but not limited to, storage cylinders, cylinder brackets, regulated
mixers, fill valves, pressure regulators, solenoid valves, fuel gauges, electronic ignitions
and alternative fuel delivery lines.
(69) Equipment associated with compressed natural gas filling or electric recharging station. Sales of and the storage, use or other consumption, prior to July 1,
2008, of equipment incorporated into or used in a compressed natural gas or hydrogen
filling or electric recharging station for vehicles powered by a clean alternative fuel,
including, but not limited to, compressors, storage cylinders, associated framing, tubing
and fittings, valves, fuel poles and fuel delivery lines used for clean alternative fuel
storage and filling facilities.
(70) Commercial trucks, truck tractors, tractors and semitrailers and vehicles
used in combination therewith. (A) Sales of and the storage, use or other consumption
of commercial trucks, truck tractors, tractors and semitrailers, and vehicles used in combination therewith, which (i) have a gross vehicle weight rating in excess of twenty-six
thousand pounds or (ii) are operated actively and exclusively during the period commencing upon its purchase and ending one year after the date of purchase for the carriage
of interstate freight pursuant to a certificate or permit issued by the Interstate Commerce
Commission or its successor agency. As used in this subsection, "gross vehicle weight
rating" means the value specified by the manufacturer as the loaded weight of the single
or combination vehicle and, if the manufacturer has not specified a value for a towed
vehicle, means the value specified for the towing vehicle plus the loaded weight of the
towed unit.
(B) Each purchaser of a commercial truck, truck tractor, tractor or semitrailer or
vehicle used in combination therewith exempt from tax pursuant to the provisions of
subparagraph (A)(ii) of this subsection shall, in order to qualify for said exemption,
present to the retailer (i) a copy of the certificate or permit that was issued by the Interstate
Commerce Commission or its successor agency to the purchaser and (ii) a certificate,
in such form as the commissioner may prescribe, certifying that such commercial truck,
truck tractor, tractor or semitrailer or vehicle used in combination therewith will be
operated actively and exclusively for the carriage of interstate freight. The purchaser
shall be liable for the tax otherwise imposed if, during the period commencing upon its
purchase and ending one year after the date of purchase, such commercial truck, truck
tractor, tractor or semitrailer or vehicle used in combination therewith is not operated
actively and exclusively for the carriage of interstate freight.
(71) Machinery, equipment, tools, materials and supplies used in commercial
printing. Sales of and the storage, use or other consumption of machinery, equipment,
tools, materials and supplies used predominantly in the production of printed material
by a commercial printer or publisher. For purposes of this subsection, "the production
of printed material" is defined to include all processes necessary to convert manuscript
copy into printed material, including but not limited to, layout, color separation and
typesetting.
(72) Machinery, equipment, tools, materials and supplies for typesetting, color
separation, finished copy, or similar products. Sales of and the storage, use or other
consumption of machinery, equipment, tools, materials and supplies used predominantly in the production of typesetting, color separation, finished copy with type proofs
and artwork or similar content mounted for photomechanical reproduction, or other
similar products to be sold for use in the production of printed materials.
(73) Component parts for assembly of manufacturing machinery. The sale of
any part of a machine purchased exclusively for the purpose of assembling a machine
for use directly in a manufacturing production process, provided the purchaser submits
a certified statement at the time of such purchase, on a form prepared by the Commissioner of Revenue Services, certifying that such part is purchased exclusively for use
in a machine to be assembled by the purchaser, or someone acting on behalf of the
purchaser, and that such machine shall be used directly in a manufacturing production
process. The purchaser shall prepare a record of the use of such part which shall be
maintained by the purchaser for a period of not less than three years following the date
of purchase.
(74) Certain sales of computer and data processing services. (A) Sales of computer and data processing services rendered to a customer (i) by a retailer which, on or
after July 1, 1991, acquired the operations of a data processing facility from the customer,
provided such customer operated the facility for its own use or (ii) by a retailer which,
on or after July 1, 1993, acquired the operations of the data processing facility from the
retailer described in subparagraph (A)(i) of this subsection, provided such customer
formerly operated the facility for its own use. (B) Sales of computer and data processing
services rendered to a customer by a retailer which, on or after July 1, 1995, acquired
the data processing operations from the customer, provided such customer formerly
conducted such data processing operations for its own use. Sales of and the storage, use
or other consumption of computers or data processing equipment, when sold to the
retailer described in this subparagraph and used by such retailer to provide the services
described in this subparagraph. The provisions in this subparagraph shall not apply if
the retailer is a related person, as defined in section 12-217w, with respect to the customer
or the customer is a related person, as defined therein, with respect to the retailer.
(75) Aviation fuel. Sales of and the storage, use or other consumption of aviation
fuel used exclusively for aviation purposes.
(76) Aircraft repair or replacement parts. Sales of and the storage, use or other
consumption of repair or replacement parts exclusively for use (A) (i) in aircraft owned
or leased by a certificated air carrier or (ii) in aircraft having a maximum certificated
takeoff weight of six thousand pounds or more or (B) in the significant overhauling or
rebuilding of aircraft or aircraft parts or components on a factory basis.
(77) Aircraft repair services. Sales of aircraft repair services when such services
are rendered in connection with (A) (i) aircraft owned or leased by a certificated air
carrier or (ii) aircraft having a maximum certificated takeoff weight of six thousand
pounds or more or (B) the significant overhauling or rebuilding of aircraft or aircraft
parts or components on a factory basis.
(78) Materials, tools, fuel, machinery and equipment in an aircraft manufacturing facility. On or after July 1, 1993, sales of and the storage, use or other consumption by an aircraft manufacturer operating an aircraft manufacturing facility in this state
of materials, tools, fuel, machinery and equipment used in such facility. For purposes
of this subsection, (A) "machinery and equipment" means tangible personal property
(i) which is installed in an aircraft manufacturing facility operated by an aircraft manufacturer and (ii) the predominant use of which is for the manufacturing of aircraft or
aircraft parts or components or for the significant overhauling or rebuilding of aircraft or
aircraft parts or components on a factory basis and (B) "aircraft manufacturing facility"
means that portion of a plant, building or other real property improvement used for the
manufacturing of aircraft or aircraft parts or components or for the significant overhauling or rebuilding of aircraft or aircraft parts or components on a factory basis.
(79) Marine fuel. Sales and the storage, use or other consumption of bunker fuel
oil, intermediate fuel, marine diesel oil and marine gas oil for use in any vessel having a
displacement exceeding four thousand dead weight tons or for use in any vessel primarily
engaged in interstate commerce.
(80) Equipment and associated repair and replacement parts installed in motor
vehicles for persons with physical disabilities. Sales and the storage, use or other
consumption of special equipment installed in a motor vehicle for the exclusive use of
a person with physical disabilities and repair or replacement parts for such equipment,
whether such repair or replacement parts are purchased separately or in conjunction
with such equipment, and whether such parts continue the original function or enhance
the functionality of such equipment.
(81) Machinery, equipment, tools and materials used in fabricating optical
lenses. Sales of and the storage, use or other consumption of machinery, equipment,
tools and materials used exclusively in the fabrication of optical lenses.
(82) Sales of commercial motor vehicles where seventy-five per cent of day-in-service revenue derives from trips involving other states. (A) The sale of and the
storage, use or other consumption of any commercial motor vehicle as defined in subparagraphs (A) and (B) of subdivision (13) of section 14-1, that is operating pursuant
to the provisions of section 13b-88 or 13b-89, during the period commencing upon its
purchase and ending one year after the date of purchase provided seventy-five per cent
of its revenue from its days in service is derived from out-of-state trips or trips crossing
state lines.
(B) Each purchaser of a commercial motor vehicle exempt from tax pursuant to the
provisions of this subsection shall, in order to qualify for said exemption, present to the
retailer a certificate, in such form as the commissioner may prescribe, certifying that
seventy-five per cent of such vehicle's revenue from its days in service will be derived
from out-of-state trips or trips crossing state lines. The purchaser of the motor vehicle
shall be liable for the tax otherwise imposed if, during the period commencing upon its
purchase and ending one year after the date of purchase, seventy-five per cent of the
vehicle's revenue from its days in service is not derived from out-of-state trips or trips
crossing state lines.
(83) Sales of motor buses where seventy-five per cent of day-in-service revenue
derives from trips involving other states. (A) The sale of and the storage, use or other
consumption of any motor bus, as defined in section 14-1, that is operating pursuant to
the provisions of section 13b-88 or 13b-89, during the period commencing upon its
purchase and ending one year after the date of purchase provided seventy-five per cent
of its revenue from its days in service is derived from out-of-state trips or trips crossing
state lines.
(B) Each purchaser of a motor bus exempt from tax pursuant to the provisions of
this subsection shall, in order to qualify for said exemption, present to the retailer a
certificate, in such form as the commissioner may prescribe, certifying that seventy-five per cent of such bus's revenue from its days in service will be derived from out-of-state trips or trips crossing state lines. The purchaser of the motor bus shall be liable
for the tax otherwise imposed if, during the period commencing upon its purchase and
ending one year after the date of purchase, seventy-five per cent of the bus's revenue
from its days in service is not derived from out-of-state trips or trips crossing state lines.
(84) Sales of goods and services to The University of Connecticut Educational
Properties, Incorporated. Sales of tangible personal property and services to The University of Connecticut Educational Properties, Incorporated, with regard to Connecticut
Technology Park.
(85) Landscaping, horticulture, window cleaning or maintenance services rendered to certain disabled persons. Sales of any landscaping and horticultural services,
window cleaning services or maintenance services, as described in subparagraph (I) of
subdivision (37) of subsection (a) of section 12-407, on or after July 1, 1994, which are
rendered to a person determined to be eligible for, and currently receiving, total disability
benefits under the Social Security Act, provided such services are rendered at the residence of such person.
(86) Sales by an affiliate participating in certain community economic development programs. Sales of services by an affiliate participating in implementation of the
community economic development program established pursuant to section 8-240k to
another affiliate participating in said program.
(87) Sales of eligible benefits under Title XVIII or XIX of Social Security Act
or CHAMPUS. Sales of items that are eligible benefits and that are made to an eligible
beneficiary pursuant to Title XVIII, 42 USC Section 1395 et seq., or Title XIX, 42 USC
Section 1396 et seq., of the Social Security Act or pursuant to the federal Civilian Health
and Medical Program of the Uniformed Services, 10 USC Section 1071 et seq.
(88) Commercial photographic film and paper processing materials. Sales of
and the storage, use or other consumption of machinery, equipment, tools and materials
used exclusively in the commercial processing of photographic film and paper.
(89) Machinery, equipment, tools, materials, supplies and fuel used in the biotechnology industry. Sales of and the storage, use or other consumption of machinery,
equipment, tools, materials, supplies and fuel used directly in the biotechnology industry. For the purposes of this subdivision, "biotechnology" means the application of
technologies, such as recombinant DNA techniques, biochemistry, molecular and cellular biology, genetics and genetic engineering, biological cell fusion techniques, and
new bioprocesses, using living organisms, or parts of organisms, to produce or modify
products, to improve plants or animals, to identify targets for small molecule pharmaceutical development, to transform biological systems into useful processes and products
or to develop microorganisms for specific uses.
(90) Water companies. Sales of and the storage, use or other consumption of any
personal property or any services to a water company, as defined in section 16-1, for
use in maintaining, operating, managing or controlling any pond, lake, reservoir, stream,
well or distributing plant or system employed for the purpose of supplying water to fifty
or more consumers.
(91) Safety apparel. Sales of and the storage, use or other consumption of safety
apparel. For the purposes of this subsection "safety apparel" means any item of clothing
or protective equipment worn by an employee for protection during the course of the
employee's employment.
(92) Services or tangible personal property for the operation of projects of the
Connecticut Resources Recovery Authority. The sales and use of any services or
tangible personal property to be incorporated into or used or otherwise consumed in the
operation of any project of the Connecticut Resources Recovery Authority established
pursuant to section 22a-261 whether such purchases are made directly by the authority
or are reimbursed by the authority to the lessee or operator of such project.
(93) Tangible personal property or services to tourism districts. Sales of tangible personal property or services to any tourism district, as defined in section 10-397.
(94) Tangible personal property at bazaars, fairs, picnics, tag sales by nonprofit organizations. Sales of tangible personal property by nonprofit organizations at
bazaars, fairs, picnics, tag sales or similar events to the extent of five such events of a
day's duration held during any calendar year.
(95) Services or tangible personal property used or consumed in operating
solid waste-to-energy facilities. The sales or use of any services or tangible personal
property to be incorporated into or used or otherwise consumed in the operation of a solid
waste-to-energy facility, certified as approved for such purpose by the Commissioner of
Environmental Protection, whether such purchases are made directly by an authority or
an operating committee, or are reimbursed by an authority or operating committee to
the lessee or operator of such facility.