Substitute Senate Bill No. 1233
Substitute Senate Bill No. 1233
PUBLIC ACT NO. 97-243
AN ACT CONCERNING MINOR AND TECHNICAL CHANGES TO
VARIOUS TAX STATUTES.
Be it enacted by the Senate and House of
Representatives in General Assembly convened:
Section 1. Section 12-1 of the general
statutes is repealed and the following is
substituted in lieu thereof:
The following words, as used in this title and
in all other statutes relating to the assessment
and collection of taxes, except when otherwise
indicated by the context, shall be defined as
follows: "Commissioner" OR "COMMISSIONER OF
REVENUE SERVICES" means the Commissioner of
Revenue Services OR HIS AUTHORIZED AGENT;
"company" means any person, partnership,
association, company, limited liability company or
corporation, except an incorporated municipality;
"person" means any individual, partnership,
company, limited liability company, public or
private corporation, society, association,
trustee, executor, administrator or other
fiduciary or custodian.
Sec. 2. Subsection (a) of section 12-3a of the
general statutes is repealed and the following is
substituted in lieu thereof:
(a) There is created a Penalty Review
Committee which shall consist of the State
Comptroller OR AN EMPLOYEE OF THE OFFICE OF THE
STATE COMPTROLLER DESIGNATED BY SAID COMPTROLLER,
the Secretary of the Office of Policy and
Management OR AN EMPLOYEE OF THE OFFICE OF POLICY
AND MANAGEMENT DESIGNATED BY SAID SECRETARY and
the Commissioner of Revenue Services OR AN
EMPLOYEE OF THE DEPARTMENT OF REVENUE SERVICES
DESIGNATED BY SAID COMMISSIONER. Said committee
shall meet monthly or as often as necessary to
approve any waiver of penalty which the
Commissioner of Revenue Services, or the executive
director of the Division of Special Revenue, is
authorized to waive in accordance with this title
which is in excess of five hundred dollars. A
majority vote of the committee shall be required
for approval of such waiver.
Sec. 3. Section 12-3b of the general statutes
is repealed and the following is substituted in
lieu thereof:
(a) There is created an Abatement Review
Committee which shall consist of the State
Comptroller OR AN EMPLOYEE OF THE OFFICE OF THE
STATE COMPTROLLER DESIGNATED BY SAID COMPTROLLER,
the Secretary of the Office of Policy and
Management OR AN EMPLOYEE OF THE OFFICE OF POLICY
AND MANAGEMENT DESIGNED BY SAID SECRETARY and the
Commissioner of Revenue Services OR AN EMPLOYEE OF
THE DEPARTMENT OF REVENUE SERVICES DESIGNATED BY
SAID COMMISSIONER. Said committee shall meet
monthly or as often as necessary to approve any
abatement, in whole or in part, of tax, including
any penalty or interest payable in connection
therewith, which the Commissioner of Revenue
Services or the executive director of the Division
of Special Revenue is authorized to abate pursuant
to any provision of the general statutes. A
majority vote of the committee shall be required
for approval of such abatement.
(b) An itemized statement of all abatements
approved under this section shall be available to
the public for inspection by any person.
(c) The Abatement Review Committee,
established pursuant to subsection (a) of this
section, may adopt regulations, in accordance with
chapter 54, establishing guidelines for the
abatement of any tax.
Sec. 4. Section 12-15 of the general statutes
is repealed and the following is substituted in
lieu thereof:
(a) No officer or employee, including any
former officer or former employee, of the state or
of any other person who has or had access to
returns or return information in accordance with
subdivision (2) of subsection (c) of this section
shall disclose any return or return information,
except as hereinafter provided. The commissioner
may disclose (1) returns or return information to
AN AUTHORIZED REPRESENTATIVE OF another state
agency or office, upon written request by the head
of such agency or office, when required in the
course of duty or when there is reasonable cause
to believe that any state law is being violated,
provided no such agency or office shall disclose
such returns or return information, other than in
a judicial or administrative proceeding to which
such agency or office is a party pertaining to the
enforcement of state law, in a form which can be
associated with, or otherwise identify, directly
or indirectly, a particular taxpayer; (2) returns
or return information to the Auditors of Public
Accounts, when required in the course of duty
under chapter 23; (3) returns or return
information to tax officers of another state or of
a Canadian province or of a political subdivision
of such other state or province or of the District
of Columbia or to any officer of the United States
Treasury Department or the United States
Department of Health and Human Services,
authorized for such purpose in accordance with an
agreement between this state and such other state,
province, political subdivision, the District of
Columbia or department, respectively, when
required in the administration of taxes imposed
under the laws of such other state, province,
political subdivision, the District of Columbia or
the United States, respectively, and when a
reciprocal arrangement exists; (4) returns or
return information in any action, case or
proceeding in any court of competent jurisdiction,
when the commissioner or any other state
department or agency is a party, and when such
information is directly involved in such action,
case or proceeding; (5) returns or return
information to a taxpayer or its authorized
representative, upon written request for a return
filed by or return information on such taxpayer;
(6) returns to a successor, receiver, trustee,
executor, administrator, assignee, guardian or
guarantor of a taxpayer, when such person
establishes, to the satisfaction of the
commissioner, that he has a material interest
which will be affected by information contained in
such return; (7) information to the [assessor]
CHIEF EXECUTIVE OFFICER of a Connecticut
municipality, when the information disclosed is
limited to (A) a list of real or personal property
that is or may be subject to property taxes in
such municipality or (B) a list containing the
name of each person who is issued any license,
permit or certificate which is required, under the
provisions of this title, to be conspicuously
displayed and whose address is in such
municipality; (8) real estate conveyance tax
return information or controlling interest
transfer tax return information to the [town
clerk] CHIEF EXECUTIVE OFFICER of a Connecticut
municipality TO WHICH THE INFORMATION RELATES. Any
person who violates any provision of this section
shall be fined not more than one thousand dollars
or imprisoned not more than one year or both.
(b) Notwithstanding the provisions of
subsection (a) of this section or any other
provision of the general statutes, any federal
returns or return information made available to
the commissioner in accordance with a written
agreement between the commissioner and the
Internal Revenue Service concerning exchange of
information for tax administration purposes, shall
not be open to inspection by or disclosed to any
individual or disclosed in any manner other than
as permitted under the provisions of Section 6103
of the Internal Revenue Code of 1986, or any
subsequent corresponding internal revenue code of
the United States, as from time to time amended.
(c) Notwithstanding the provisions of
subsection (a) of this section, the commissioner
may (1) upon request, verify whether or not any
license, permit or certificate required under the
provisions of this title to be conspicuously
displayed has been issued by him to any particular
person; (2) pursuant to regulations promulgated by
him, disclose returns or return information to any
person to the extent necessary in connection with
the processing, storage, transmission, or
reproduction of such returns or return
information, and the programming, maintenance,
repair, testing, or procurement of equipment, or
the providing of other services, for purposes of
tax administration; (3) refuse to open to
inspection or disclose to any person any returns
or return information made available to the
commissioner by any tax officer of another state,
a Canadian province or political subdivision of
such other state or province or of the District of
Columbia or by any officer of the United States
Treasury Department or the United States
Department of Health and Human Services in
accordance with a written agreement between this
state and such other state, province, political
subdivision, the District of Columbia or
department, respectively, which agreement provides
that the disclosure of such returns or return
information by the commissioner is prohibited; (4)
WITHOUT WRITTEN REQUEST AND UNLESS HE DETERMINES
THAT DISCLOSURE WOULD IDENTIFY A CONFIDENTIAL
INFORMATION OR SERIOUSLY IMPAIR A CIVIL OR
CRIMINAL TAX INVESTIGATION, DISCLOSE RETURNS AND
RETURN INFORMATION WHICH MAY CONSTITUTE EVIDENCE
OF A VIOLATION OF ANY CIVIL OR CRIMINAL LAW OF
THIS STATE OR THE UNITED STATES TO THE EXTENT
NECESSARY TO APPRISE THE HEAD OF SUCH AGENCY OR
OFFICE CHARGED WITH THE RESPONSIBILITY OF
ENFORCING SUCH LAW, IN WHICH EVENT THE HEAD OF
SUCH AGENCY OR OFFICE MAY DISCLOSE SUCH RETURN
INFORMATION TO OFFICERS AND EMPLOYEES OF SUCH
AGENCY OR OFFICE TO THE EXTENT NECESSARY TO
ENFORCE SUCH LAW.
(d) Notwithstanding the provisions of
subsection (a) of this section, the commissioner
may refuse to open to inspection or disclosure to
any state agency or office described in
subdivision (1) of subsection (a) of this section,
returns or return information unless such agency
or office shall have: (1) Established and
maintained, to the satisfaction of the
commissioner, a permanent system of standardized
records with respect to any request, the reason
for such request, and the date of such request
made by or of it and any disclosure of returns or
return information made by or to it; (2)
established and maintained, to the satisfaction of
the commissioner, a secure area or place in which
such returns or return information shall be
stored; (3) restricted, to the satisfaction of the
commissioner, access to the returns or return
information only to persons whose duties or
responsibilities require access and to whom
disclosure may be made under this section; (4)
provided such other safeguards which the
commissioner prescribes as necessary or
appropriate to protect the confidentiality of the
returns or return information; (5) furnished a
report to the commissioner, at such time and
containing such information as the commissioner
may prescribe, which describes the procedures
established and utilized by such agency or office
for ensuring the confidentiality of returns and
return information required by this subsection;
and (6) upon completion of use of such returns or
return information, returned to the commissioner
such returns or return information, along with any
copies made therefrom, or makes such returns or
return information undisclosable in such manner as
the commissioner may prescribe and furnishes a
written report to the commissioner identifying the
returns or return information that were made
undisclosable.
(e) For purposes of this section:
(1) "Return" means any tax or information
return, declaration of estimated tax, claim for
refund, license application, permit application,
registration application or other application
required by, or provided for or permitted under,
the provisions of this OR ANY OTHER title which is
filed with the commissioner by, on behalf of, or
with respect to any person, and any amendment or
supplement thereto, including supporting
schedules, attachments, or lists which are
supplemental to, or part of, the return so filed.
(2) "Return information" means a taxpayer's
identity, the nature, source, or amount of the
taxpayer's income, payments, receipts, deductions,
exemptions, credits, assets, liabilities, net
worth, tax liability, tax collected or withheld,
tax underreportings, tax overreportings, or tax
payments, whether the taxpayer's return was, is
being, or will be examined or subjected to other
investigation or processing, or any other data
received by, recorded by, prepared by, furnished
to, or collected by the commissioner with respect
to a return or with respect to the determination
of the existence, or possible existence, of
liability of any person for any tax, penalty,
interest, fine, forfeiture, or other imposition,
or offense. "Return information" does not include
data in a form which cannot be associated with, or
otherwise identify, directly or indirectly, a
particular taxpayer. Nothing in the preceding
sentence, or in any other provision of law, shall
be construed to require the disclosure of
standards used or to be used for the selection of
returns for examination, or data used or to be
used for determining such standards or the
disclosure of the identity of a confidential
informant, whether or not a civil or criminal tax
investigation has been undertaken or completed.
(3) "Disclosure" means the making known to any
person, in any manner whatever, a return or return
information.
Sec. 5. Section 12-30 of the general statutes
is repealed and the following is substituted in
lieu thereof:
[In] IF THE COMMISSIONER OF REVENUE SERVICES
DETERMINES THAT ANY STATUTE OR REGULATION HE IS
CHARGED WITH ENFORCING IS BEING ADVERSELY AFFECTED
HE MAY IMPOSE A PENALTY OF FIFTY DOLLARS IN case
of A failure to file any return or report which is
required by law OR REGULATION to be filed with the
[Commissioner of Revenue Services on] COMMISSIONER
ON OR BEFORE the date prescribed therefor, which
failure is determined with regard to any extension
of time for filing. [, unless it is shown] THE
COMMISSIONER MAY, UPON APPLICATION, IF IT IS
PROVEN TO HIS SATISFACTION that such failure is
due to reasonable cause and is not due to
negligence or intentional disregard of any
provision of law [, there shall be imposed a
penalty of fifty dollars, provided no] OR
REGULATION, WAIVE ALL OR ANY PART OF SUCH PENALTY.
NO taxpayer shall be subject to such penalty in
relation to any tax period for which he is subject
to a penalty for late payment of a tax or to an
additional amount being added to the tax imposed
based on a failure to file. [For purposes of this
section, the return or report required by law to
be filed with the Commissioner of Revenue Services
shall not mean any declaration of estimated tax
required under this title.] IF THE COMMISSIONER
DOES NOT, UPON APPLICATION, WAIVE ALL OR ANY PART
OF SUCH PENALTY, ANY PERSON AGGRIEVED BY SUCH
ACTION OF THE COMMISSIONER MAY, NOT LATER THAN ONE
MONTH AFTER NOTICE OF SUCH ACTION IS MAILED OR
DELIVERED TO SUCH PERSON, APPEAL THEREFROM TO THE
SUPERIOR COURT FOR THE JUDICIAL DISTRICT OF
HARTFORD-NEW BRITAIN. THE APPEAL SHALL BE
ACCOMPANIED BY A CITATION TO THE COMMISSIONER TO
APPEAR BEFORE SAID COURT. SUCH CITATION SHALL BE
SIGNED BY THE SAME AUTHORITY, AND SUCH APPEAL
SHALL BE RETURNABLE AT THE SAME TIME AND SERVED
AND RETURNED IN THE SAME MANNER AS IS REQUIRED IN
CASE OF A SUMMONS IN A CIVIL ACTION. THE AUTHORITY
ISSUING THE CITATION SHALL TAKE FROM THE APPELLANT
A BOND OR RECOGNIZANCE TO THE STATE OF CONNECTICUT
WITH SURETY TO PROSECUTE THE APPEAL TO EFFECT AND
TO COMPLY WITH THE ORDERS AND DECREES OF THE COURT
IN THE PREMISES. SUCH APPEALS SHALL BE PREFERRED
CASES, TO BE HEARD, UNLESS CAUSE APPEARS TO THE
CONTRARY, AT THE FIRST SESSION, BY THE COURT OR BY
A COMMITTEE APPOINTED BY IT. SAID COURT MAY GRANT
SUCH RELIEF AS MAY BE EQUITABLE. IF THE APPEAL IS
WITHOUT PROBABLE CAUSE, THE COURT MAY TAX DOUBLE
OR TRIPLE COSTS, AS THE CASE DEMANDS; AND, UPON
ALL SUCH APPEALS WHICH MAY BE DENIED, COSTS MAY BE
TAXED AGAINST THE APPELLANT AT THE DISCRETION OF
THE COURT, BUT NO COSTS SHALL BE TAXED AGAINST THE
STATE.
Sec. 6. Subsection (b) of section 12-39a of
the general statutes is repealed and the following
is substituted in lieu thereof:
(b) For purposes of the timely performance of
any act which is required or permitted to be
performed, by a taxpayer or by the Department of
Revenue Services, in connection with (1) the tax
imposed under chapter 229, (2) THE TAX IMPOSED ON
INDIVIDUALS WHO MAKE PURCHASES OF SERVICES OR
TANGIBLE PERSONAL PROPERTY, THE STORAGE,
ACCEPTANCE, CONSUMPTION OR OTHER USE OF WHICH IS
SUBJECT TO THE USE TAX UNDER CHAPTER 219, WHO HAVE
NOT PAID THE USE TAX DUE TO ANY RETAILER REQUIRED
TO COLLECT THE TAX, AND WHO MAKE SUCH PURCHASES
FOR PERSONAL USE OR CONSUMPTION IN THIS STATE, AND
NOT FOR USE OR CONSUMPTION IN CARRYING ON A TRADE,
OCCUPATION, BUSINESS OR PROFESSION, and (3) the
tax imposed under chapter 228c, "legal holiday"
includes any legal holiday, as defined in Section
7503 of the Internal Revenue Code of 1986, or any
subsequent corresponding internal revenue code of
the United States, as from time to time amended.
Sec. 7. Section 12-201 of the general statutes
is repealed and the following is substituted in
lieu thereof:
When used in this chapter, unless the context
otherwise requires: [,] (1) "Commissioner of
Revenue Services" or "commissioner" means the
Commissioner of Revenue Services; (2) "Insurance
Commissioner" means the state Insurance
Commissioner; (3) "taxpayer" means any insurance
company subject to taxation under this chapter;
(4) "insurance company" means any corporation,
limited liability company, association,
partnership or combination of persons doing any
kind or form of insurance business other than a
fraternal benefit society, including a receiver,
trustee or other fiduciary of any insurance
company when the context reasonably permits; (5)
"domestic insurance company" means any insurance
company chartered by or organized or constituted
within or under the laws of this state; (6) "local
domestic insurance company" means any domestic
insurance company more than fifty per cent of the
total gross direct premiums of which are received
during the calendar year next preceding for
insurance on property or risks located or resident
in this state; (7) "gross direct premiums" means
all receipts of premiums from policyholders and
applicants for policies, whether received in the
form of money or other valuable consideration, but
excluding annuity premiums and considerations and
premiums received for reinsurances assumed from
other insurance companies and premiums received
after July 1, 1990, and before January 1, 1995,
for any special health care plan, as defined in
section 38a-564; (8) "net direct premiums" means
gross direct premiums less the following items:
[(1)] (A) Returned premiums, including
cancellations, and [(2)] (B) dividends paid to
policyholders on direct business, not including
any dividends paid on account of the ownership of
stock; (9) "DIRECT SUBSCRIBER CHARGES" MEANS ALL
CHARGES MADE BY A HEALTH CARE CENTER, AS DEFINED
IN SECTION 38a-175, TO SUBSCRIBERS, AS DEFINED IN
SECTION 38a-175, BY WHOMEVER PAID; (10) "NET
DIRECT SUBSCRIBER CHARGES" MEANS DIRECT SUBSCRIBER
CHARGES LESS RETURNED CHARGES, INCLUDING
CANCELLATIONS; (11) "received" means "received" or
"accrued", construed according to the method of
accounting customarily employed by the taxpayers;
(12) "domestic insurance holding company" means
any company engaged principally in the business of
holding the stocks of domestic insurance
companies, whether or not such holding company is
chartered in this state; (13) "life insurance
department" or "life insurance company" means any
department or company engaged in writing policies
or annuities the premiums on which are charged
wholly or chiefly on the basis of tables
purporting to represent the mortality of insured
lives or of annuitants; (14) "state" means any
state, territory or district of the United States;
and (15) "ocean marine insurance" means all
insurance written within this state upon hulls,
freights or disbursements, or upon goods, wares,
merchandise and all other personal property and
interests therein, in course of exportation from
or importation into any country or transportation
coastwise, including transportation by land or
water from point of origin to final destination,
in respect to any and all risks or perils of
navigation, transit or transportation, and while
being prepared for and awaiting shipment, and
during any delays, storage, transshipment or
reshipment incident thereto, including war risks
and marine builder's risks.
Sec. 8. Section 12-205 of the general statutes
is repealed and the following is substituted in
lieu thereof:
Each domestic insurance company doing business
in this state shall, on or before the first day of
March, annually, render to the Commissioner of
Revenue Services, under oath or affirmation of at
least one of its principal officers, an annual
return, on forms prescribed or furnished by the
commissioner, stating specifically the name of the
company and the location of its principal office,
the names and locations of any subsidiary domestic
insurance companies or insurance holding
companies, the interest, dividends, premiums and
other items of gross income received by such
company and by each of the departments of such
company during the next preceding calendar year,
the deductions from such items of gross income as
specified in this chapter and such other
information as the commissioner may require for
the purpose of making any computations required by
this chapter and for the enforcement of this
chapter. The amount of tax reported to be due on
such return shall be due and payable on or before
said first day of March. Payments shall be made in
cash or by check, draft or money order drawn to
the order of the Commissioner of Revenue Services.
The commissioner may, for good cause shown, extend
the time for making the return and paying the tax,
if a written request is filed with the
commissioner together with a tentative return
which must be accompanied by a payment of the tax
reported to be due thereon on or before said first
day of March. Any company to which an extension is
granted shall pay, in addition to the tax,
interest at the rate of one [and two-thirds] per
cent per month or fraction thereof from the date
on which the tax would have been due without the
extension until the date of payment.
Sec. 9. Section 12-208 of the general statutes
is repealed and the following is substituted in
lieu thereof:
(a) Any [insurance company, hospital service
corporation, medical service corporation or entity
maintaining an employee welfare benefit plan]
COMPANY SUBJECT TO ANY TAX OR CHARGE UNDER THIS
CHAPTER THAT IS aggrieved by the action of the
commissioner or his authorized agent in fixing the
amount of any tax, penalty, interest or charge
provided for by this chapter may apply to the
commissioner, in writing, within sixty days after
the notice of such action is delivered or mailed
to it, for a hearing and a correction of the
amount of such tax, penalty, interest or charge,
so fixed, setting forth the reasons why such
hearing should be granted and the amount in which
such tax, penalty, interest or charge should be
reduced. The commissioner shall promptly consider
each such application and may grant or deny the
hearing requested. If the hearing is denied, the
applicant shall be notified forthwith. If it is
granted, the commissioner shall notify the
applicant of the time and place fixed for such
hearing. After such hearing the commissioner may
make such order in the premises as appears to him
just and lawful and shall furnish a copy of such
order to the applicant. The commissioner may, by
notice in writing, at any time within three years
after the date when any return of any such person
has been due, order a hearing on his own
initiative and require such person or any other
individual whom he believes to be in possession of
relevant information concerning such person to
appear before him or his authorized agent with any
specified books of account, papers or other
documents, for examination under oath.
(b) Any [insurance company, hospital service
corporation, medical service corporation or entity
maintaining an employee welfare benefit plan]
COMPANY SUBJECT TO ANY TAX OR CHARGE UNDER THIS
CHAPTER THAT IS aggrieved because of any order,
decision, determination or disallowance of the
Commissioner of Revenue Services made under this
chapter may, within one month after service of
notice of such order, decision, determination or
disallowance, take an appeal therefrom to the
superior court for the judicial district of
Hartford-New Britain*, which appeal shall be
accompanied by a citation to the Commissioner of
Revenue Services to appear before said court. Such
citation shall be signed by the same authority,
and such appeal shall be returnable at the same
time and served and returned in the same manner,
as is required in case of a summons in a civil
action. The authority issuing the citation shall
take from the appellant a bond or recognizance to
the state of Connecticut, with surety, to
prosecute the appeal to effect and to comply with
the orders and decrees of the court in the
premises. Such appeals shall be preferred cases,
to be heard, unless cause appears to the contrary,
at the first session, by the court or by a
committee appointed by the court. Said court may
grant such relief as may be equitable and, if such
tax or charge has been paid prior to the granting
of such relief, may order the STATE Treasurer to
pay the amount of such relief, with interest at
the rate of two-thirds of one per cent per month
or fraction thereof, to such aggrieved person. If
the appeal has been taken without probable cause,
the court may tax double or triple costs, as the
case demands; and, upon all such appeals which are
denied, costs may be taxed against the appellant
at the discretion of the court, but no costs shall
be taxed against the state.
Sec. 10. Subdivision (1) of subsection (g) of
section 12-218 of the general statutes is repealed
and the following is substituted in lieu thereof:
(g) (1) Any taxpayer that provides securities
brokerage services, as defined in this subsection,
may elect, on or before the due date or, if
applicable, the extended due date, of its
corporation business tax return for an income year
commencing on or after January 1, 1996, to
apportion its net income derived, directly or
indirectly, from rendering securities brokerage
services in the manner provided in this
subsection. The election, if made by the taxpayer,
shall be irrevocable for, and applicable for, five
successive income years. Income derived by such
taxpayer from sources other than the rendering of
securities brokerage services shall be apportioned
as provided in this [subsection] SECTION.
Sec. 11. Section 12-285a of the general
statutes is repealed and the following is
substituted in lieu thereof:
For purposes of sections 12-286a, 12-295a,
12-314a, 12-315a and subsection (a) of section
53-344: [, "distributor"] (1) "DISTRIBUTOR"
includes a manufacturer of tobacco products (2)
"SALE" OR "SELL" MEANS AN ACT DONE INTENTIONALLY
BY ANY PERSON, WHETHER DONE AS PRINCIPAL,
PROPRIETOR, AGENT, SERVANT OR EMPLOYEE, OF
TRANSFERRING, OR OFFERING OR ATTEMPTING TO
TRANSFER, FOR CONSIDERATION, CIGARETTES OR TOBACCO
PRODUCTS, INCLUDING BARTERING OR EXCHANGING, OR
OFFERING TO BARTER OR EXCHANGE, CIGARETTES OR
TOBACCO PRODUCTS; (3) "GIVE" OR "GIVING" MEANS AN
ACT DONE INTENTIONALLY BY ANY PERSON, WHETHER DONE
AS PRINCIPAL, PROPRIETOR, AGENT, SERVANT OR
EMPLOYEE, OF TRANSFERRING, OR OFFERING OR
ATTEMPTING TO TRANSFER, WITHOUT CONSIDERATION,
CIGARETTES OR TOBACCO PRODUCTS; (4) "DELIVER" OR
"DELIVERING" MEANS AN ACT DONE INTENTIONALLY BY
ANY PERSON, WHETHER AS PRINCIPAL, PROPRIETOR,
AGENT, SERVANT OR EMPLOYEE, OF TRANSFERRING, OR
OFFERING OR ATTEMPTING TO TRANSFER, PHYSICAL
POSSESSION OR CONTROL OF CIGARETTES OR TOBACCO
PRODUCTS.
Sec. 12. Subsection (2) of section 12-407 of
the general statutes, as amended by section 49 of
public act 95-160, is repealed and the following
is substituted in lieu thereof:
(2) "Sale" and "selling" mean and include: (a)
Any transfer of title, exchange or barter,
conditional or otherwise, in any manner or by any
means whatsoever, of tangible personal property
for a consideration; (b) any withdrawal, except a
withdrawal pursuant to a transaction in foreign or
interstate commerce, of tangible personal property
from the place where it is located for delivery to
a point in this state for the purpose of the
transfer of title, exchange or barter, conditional
or otherwise, in any manner or by any means
whatsoever, of the property for a consideration;
(c) the producing, fabricating, processing,
printing or imprinting of tangible personal
property for a consideration for consumers who
furnish either directly or indirectly the
materials used in the producing, fabricating,
processing, printing or imprinting, including but
not limited to, [computer programming,] sign
construction, photofinishing, duplicating and
photocopying; (d) the furnishing and distributing
of tangible personal property for a consideration
by social clubs and fraternal organizations to
their members or others; (e) the furnishing,
preparing, or serving for a consideration of food,
meals or drinks; (f) a transaction whereby the
possession of property is transferred but the
seller retains the title as security for the
payment of the price; (g) a transfer for a
consideration of the title of tangible personal
property which has been produced, fabricated or
printed to the special order of the customer, or
of any publication, including but not limited to,
[computer programming,] sign construction,
photofinishing, duplicating and photocopying; (h)
a transfer for a consideration of the occupancy of
any room or rooms in a hotel or lodging house for
a period of thirty consecutive calendar days or
less; (i) the rendering of certain services for a
consideration, exclusive of such services rendered
by an employee for his employer, as follows: (A)
Computer and data processing services, including
but not limited to, time, (B) credit information
and reporting services, (C) services by employment
agencies and agencies providing personnel
services, (D) private investigation, protection,
patrol work, watchman and armored car services,
exclusive of services of off-duty police officers
at construction sites, (E) painting and lettering
services, (F) photographic studio services, (G)
telephone answering services, (H) stenographic
services, (I) services to industrial, commercial
or income-producing real property, including but
not limited to, such services as management,
electrical, plumbing, painting and carpentry and
excluding any such services rendered in the
voluntary evaluation, prevention, treatment,
containment or removal of hazardous waste, as
defined in section 22a-115, or other contaminants
of air, water or soil, provided income-producing
property shall not include property used
exclusively for residential purposes in which the
owner resides and which contains no more than
three dwelling units, or a housing facility for
low and moderate income families and persons owned
OR OPERATED by [an] A NONPROFIT HOUSING
organization, [which has as one of its purposes
the ownership of housing for low and moderate
income families, and which organization has been
granted exemption from federal income taxation] AS
DEFINED IN SUBSECTION (29) OF SECTION 12-412, AS
AMENDED BY SECTION 21 OF THIS ACT, (J) business
analysis, management, management consulting and
public relations services, excluding any
environmental consulting services, (K) services
providing "piped-in" music to business or
professional establishments, (L) flight
instruction and chartering services by a
certificated air carrier on an aircraft, the use
of which for such purposes, but for the provisions
of subsection (4) of section 12-410 and subsection
(12) of section 12-411, would be deemed a retail
sale and a taxable storage or use, respectively,
of such aircraft by such carrier, (M) motor
vehicle repair services, including any type of
repair, painting or replacement related to the
body or any of the operating parts of a motor
vehicle, (N) motor vehicle parking, including the
provision of space, other than metered space, in a
lot having thirty or more spaces, excluding (i)
space in a seasonal parking lot provided by a
person who is exempt from taxation under this
chapter pursuant to subsection (1), (5) or (8) of
section 12-412, (ii) space in a parking lot owned
or leased under the terms of a lease of not less
than ten years duration and operated by an
employer for the exclusive use of its employees,
(iii) valet parking provided at any airport, and
(iv) space in municipally-operated railroad
parking facilities in municipalities located
within an area of the state designated as a severe
nonattainment area for ozone under the federal
Clean Air Act, (O) radio or television repair
services, (P) furniture reupholstering and repair
services, (Q) repair services to any electrical or
electronic device, including but not limited to,
such equipment used for purposes of refrigeration
or air-conditioning, (R) lobbying or consulting
services for purposes of representing the
interests of a client in relation to the functions
of any governmental entity or instrumentality, (S)
services of the agent of any person in relation to
the sale of any item of tangible personal property
for such person, exclusive of the services of a
consignee selling works of art, as defined in
subsection (b) of section 12-376c, or articles of
clothing or footwear intended to be worn on or
about the human body other than (i) any special
clothing or footwear primarily designed for
athletic activity or protective use and which is
not normally worn except when used for the
athletic activity or protective use for which it
was designed and (ii) 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 subdivision (47) of
section 12-412, under consignment, exclusive of
services provided by an auctioneer, (T) locksmith
services, (U) advertising or public relations
services, including layout, art direction, graphic
design, mechanical preparation or production
supervision, not related to the development of
media advertising or cooperative direct mail
advertising, (V) landscaping and horticulture
services, (W) window cleaning services, (X)
maintenance services, (Y) janitorial services, (Z)
exterminating services, (AA) swimming pool
cleaning and maintenance services, (BB) renovation
and repair services as set forth in this
subparagraph, to other than industrial, commercial
or income-producing real property: Paving of any
sort, painting or staining, wallpapering, roofing,
siding and exterior sheet metal work, (CC)
miscellaneous personal services included in
industry group 729 in the Standard Industrial
Classification Manual, United States Office of
Management and Budget, 1987 edition, exclusive of
(i) services rendered by massage therapists
licensed pursuant to chapter 384a, and (ii)
services rendered by a hypertrichologist licensed
pursuant to chapter 388, (DD) any repair or
maintenance service to any item of tangible
personal property including any contract of
warranty or service related to any such item; (EE)
business analysis, management or managing
consulting services rendered by a general partner,
or an affiliate thereof, to a limited partnership,
provided (i) that the general partner, or an
affiliate thereof, is compensated for the
rendition of such services other than through a
distributive share of partnership profits or an
annual percentage of partnership capital or assets
established in the limited partnership's offering
statement, and (ii) the general partner, or an
affiliate thereof, offers such services to others,
including any other partnership. As used in
subparagraph (EE)(i) "an affiliate of a general
partner" means an entity which is directly or
indirectly owned fifty per cent or more in common
with a general partner; and (FF) notwithstanding
the provisions of section 12-412, AS AMENDED BY
SECTIONS 21 TO 25, INCLUSIVE, OF THIS ACT, except
subsection (87) thereof, patient care services, as
defined in subsection (30) of this section by a
hospital; (j) the leasing or rental of tangible
personal property of any kind whatsoever,
including but not limited to, motor vehicles,
linen or towels, machinery or apparatus, office
equipment and data processing equipment, provided
for purposes of this subdivision and the
application of sales and use tax to contracts of
lease or rental of tangible personal property, 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 shall not
constitute a sale within the meaning of this
subsection; (k) the rendering of
telecommunications service, as defined in
subsection (26) of this section, for a
consideration on or after January 1, 1990,
exclusive of any such service rendered by an
employee for his employer, subject to the
provisions related to telecommunications service
in accordance with section 12-407a; (l) the
rendering of community antenna television service,
as defined in subsection (27) of this section, for
a consideration on or after January 1, 1990,
exclusive of any such service rendered by an
employee for his employer; (m) the transfer for
consideration of space or the right to use any
space for the purpose of storage or mooring of any
noncommercial vessel, exclusive of dry or wet
storage or mooring of such vessel during the
period commencing on the first day of November in
any year to and including the thirtieth day of
April of the next succeeding year. Wherever in
this chapter reference is made to the sale of
tangible personal property or services, it shall
be construed to include sales described in this
subsection, except as may be specifically provided
to the contrary.
Sec. 13. Subsections (8) and (9) of section
12-407 of the general statutes are repealed and
the following is substituted in lieu thereof:
(8) (A) "Sales price" means the total amount
for which tangible personal property is sold BY A
RETAILER, the total amount of rent [received for
occupancy or the total amount received for any
service rendered on or after July 1, 1975, or the
total amount of payment or periodic payments
received for leasing or rental of tangible
personal property for the term of any such lease
or rental occurring on or after July 1, 1975,
valued in money, whether paid in money or
otherwise] FOR WHICH OCCUPANCY OF A ROOM IS
TRANSFERRED BY AN OPERATOR, THE TOTAL AMOUNT FOR
WHICH ANY SERVICE DESCRIBED IN SUBSECTION (2) OF
THIS SECTION IS RENDERED BY A RETAILER OR THE
TOTAL AMOUNT OF PAYMENT OR PERIODIC PAYMENTS FOR
WHICH TANGIBLE PERSONAL PROPERTY IS LEASED BY A
RETAILER, WHICH AMOUNT IS DUE AND OWING TO THE
RETAILER OR OPERATOR AND, SUBJECT TO THE
PROVISIONS OF SUBSECTION (1) OF SECTION 12-408, AS
AMENDED BY SECTION 17 OF THIS ACT, WHETHER OR NOT
ACTUALLY RECEIVED BY THE RETAILER OR OPERATOR,
without any deduction on account of any of the
following: [(a)] (i) The cost of the property
sold; [(b)] (ii) the cost of materials used, labor
or service cost, interest charged, losses or any
other expenses; [(c)] (iii) for any sale occurring
on or after July 1, 1993, any charges by the
seller to the purchaser for shipping or delivery,
notwithstanding whether such charges are
separately stated in a written contract, or on a
bill or invoice rendered to such purchaser or
whether such shipping or delivery is provided by
the seller or a third party. The provisions of
[subdivision (c) of this subsection] SUBPARAGRAPH
(A) (iii) shall not apply to any item exempt from
taxation pursuant to section 12-412, AS AMENDED BY
SECTIONS 21 TO 25, INCLUSIVE, OF THIS ACT. Such
total amounts include [all of the following: (a)
Any] ANY services that are a part of the sale;
[(b)] any amount for which credit is given to the
purchaser by the seller [; (c)] AND all
compensation and all employment-related expenses,
whether or not separately stated, paid to or on
behalf of employees of a retailer of any service
described in [subdivision (i) of] subsection (2)
of this section. (B) "Sales price" does not
include any of the following: [(a)] (i) Cash
discounts allowed and taken on sales; [(b)] (ii)
any portion of the amount charged for property
returned by customers, which upon rescission of
the contract of sale is refunded either in cash or
credit, provided the property is returned within
ninety days from the date of purchase; [(c)] (iii)
the amount of any tax, not including any
manufacturers' or importers' excise tax, imposed
by the United States upon or with respect to
retail sales whether imposed upon the retailer or
the consumer; [(d)] (iv) the amount charged for
labor rendered in installing or applying the
property sold, provided such charge is separately
stated and exclusive of such charge for any
service rendered within the purview of
subparagraph (I) of subdivision (i) of subsection
(2) of this section; [(e)] (v) the amount charged
for separately stated compensation, fringe
benefits, workers' compensation and payroll taxes
or assessments paid to or on behalf of employees
of a retailer who has contracted to manage a
service recipient's property or business premises
and renders management services described in
subdivision (i) of subsection (2) of this section,
provided, [(A)] the employees perform such
services solely for the service recipient at its
property or business premises and [(B)] "sales
price" shall include the separately stated
compensation, fringe benefits, workers'
compensation and payroll taxes or assessments paid
to or on behalf of any employee of the retailer
who is an officer, director or owner of more than
five per cent of the outstanding capital stock of
the retailer. Determination whether an employee
performs services solely for a service recipient
at its property or business premises for purposes
of this subdivision shall be made by reference to
such employee's activities during the time period
beginning on the later of the commencement of the
management contract, the date of the employee's
first employment by the retailer or the date which
is six months immediately preceding the date of
such determination; and [(f)] (vi) the amount
charged for separately stated compensation, fringe
benefits, workers' compensation and payroll taxes
or assessments paid to or on behalf of an
employee, as defined as a leased employee pursuant
to Section 414(n) of the Internal Revenue Code of
1986, or any subsequent corresponding internal
revenue code of the United States, provided a
leased employee shall not include an employee who
is hired by a temporary help service and assigned
to support or supplement the workforce of a
temporary help service's client.
(9) (A) "Gross receipts" means the total
amount of the sales price [, of the retail sales
of retailers, or the total amount of the rent
received for occupancy or the total amount
received for any service rendered on or after July
1, 1975, or the total amount of payment or
periodic payments received for leasing or rental
of tangible personal property for the term of any
such lease or rental occurring on or after July 1,
1975, valued in money, whether received in money
or otherwise] FROM RETAIL SALES OF TANGIBLE
PERSONAL PROPERTY BY A RETAILER, THE TOTAL AMOUNT
OF THE RENT FROM TRANSFERS OF OCCUPANCY OF ROOMS
BY AN OPERATOR, THE TOTAL AMOUNT OF THE SALES
PRICE FROM RETAIL SALES OF ANY SERVICE DESCRIBED
IN SUBSECTION (2) OF THIS SECTION BY A RETAILER OF
SERVICES, OR THE TOTAL AMOUNT OF PAYMENT OR
PERIODIC PAYMENTS FROM LEASES OR RENTALS OF
TANGIBLE PERSONAL PROPERTY BY A RETAILER, VALUED
IN MONEY, WHETHER RECEIVED IN MONEY OR OTHERWISE,
WHICH AMOUNT IS DUE AND OWING TO THE RETAILER OR
OPERATOR AND, SUBJECT TO THE PROVISIONS OF
SUBSECTION (1) OF SECTION 12-408, AS AMENDED BY
SECTION 18 OF THIS ACT, WHETHER OR NOT ACTUALLY
RECEIVED BY THE RETAILER OR OPERATOR, without any
deduction on account of any of the following:
[(a)] (i) The cost of the property sold; however,
in accordance with such regulations as the
Commissioner of Revenue Services may prescribe, a
deduction may be taken if the retailer has
purchased property for some other purpose than
resale, has reimbursed his vendor for tax which
the vendor is required to pay to the state or has
paid the use tax with respect to the property, and
has resold the property prior to making any use of
the property other than retention, demonstration
or display while holding it for sale in the
regular course of business. If such a deduction is
taken by the retailer, no refund or credit will be
allowed to his vendor with respect to the sale of
the property; [(b)] (ii) the cost of the materials
used, labor or service cost, interest paid, losses
or any other expense; [(c)] (iii) for any sale
occurring on or after July 1, 1993, any charges by
the seller to the purchaser for shipping or
delivery, notwithstanding whether such charges are
separately stated in the written contract, or on a
bill or invoice rendered to such purchaser or
whether such shipping or delivery is provided by
the seller or a third party. The provisions of
subdivision (c) of this subsection shall not apply
to any item exempt from taxation pursuant to
section 12-412, AS AMENDED BY SECTIONS 21 TO 25,
INCLUSIVE, OF THIS ACT. The total amount of the
sales price includes [all of the following: (a)
Any] ANY services that are a part of the sale, [;
(b)] all receipts, cash, credits and property of
any kind, [; (c)] any amount for which credit is
allowed by the seller to the purchaser, [; (d)]
AND all compensation and all employment-related
expenses, whether or not separately stated, paid
to or on behalf of employees of a retailer of any
service described in [subdivision (i) of]
subsection (2) of this section, AS AMENDED BY
SECTION 12 OF THIS ACT. (B) "Gross receipts" do
not include any of the following: [(a)] (i) Cash
discounts allowed and taken on sales; [(b)] (ii)
any portion of the sales price of property
returned by customers, which upon rescission of
the contract of sale is refunded either in cash or
credit, provided the property is returned within
ninety days from the date of sale; [(c)] (iii) the
amount of any tax, not including any
manufacturers' or importers' excise tax, imposed
by the United States upon or with respect to
retail sales whether imposed upon the retailer or
the consumer; [(d)] (iv) the amount charged for
labor rendered in installing or applying the
property sold, provided such charge is separately
stated and exclusive of such charge for any
service rendered within the purview of
subparagraph (I) of subdivision (i) of subsection
(2) of this section; [(e)] (v) the amount charged
for separately stated compensation, fringe
benefits, workers' compensation and payroll taxes
or assessments paid to or on behalf of employees
of a retailer who has contracted to manage a
service recipient's property or business premises
and renders management services described in
subdivision (i) of subsection (2) of this section,
AS AMENDED BY SECTION 12 OF THIS ACT, provided
[(A)] the employees perform such services solely
for the service recipient at its property or
business premises and [(B)] "gross receipts" shall
include the separately stated compensation, fringe
benefits, workers' compensation and payroll taxes
or assessments paid to or on behalf of any
employee of the retailer who is an officer,
director or owner of more than five per cent of
the outstanding capital stock of the retailer.
Determination whether an employee performs
services solely for a service recipient at its
property or business premises for purposes of this
subdivision shall be made by reference to such
employee's activities during the time period
beginning on the later of the commencement of the
management contract, the date of the employee's
first employment by the retailer or the date which
is six months immediately preceding the date of
such determination; and [(f)] (vi) the amount
charged for separately stated compensation, fringe
benefits, workers' compensation and payroll taxes
or assessments paid to or on behalf of an
employee, as defined as a leased employee pursuant
to Section 414(n) of the Internal Revenue Code of
1986, or any subsequent corresponding internal
revenue code of the United States, provided a
leased employee shall not include an employee who
is hired by a temporary help service and assigned
to support or supplement the workforce of a
temporary help service's client.
Sec. 14. Subsection (12) of section 12-407 of
the general statutes is repealed and the following
is substituted in lieu thereof:
(12) "Retailer" includes: [(a)] (A) Every
person engaged in the business of making sales at
retail or in the business of making retail sales
at auction of tangible personal property owned by
the person or others; [(b)] (B) every person
engaged in the business of making sales for
storage, use or other consumption or in the
business of making sales at auction of tangible
personal property owned by the person or others
for storage, use or other consumption; [(c)] (C)
every operator as defined in subsection (18) of
this section; [(d)] (D) every seller rendering any
service described in [subdivision (i) of]
subsection (2) of this section; [(e)] (E) every
person under whom any salesman, representative,
peddler or canvasser operates in this state, or
from whom such salesman, representative, peddler
or canvasser obtains the tangible personal
property that is sold; [(f)] (F) every person with
whose assistance any seller is enabled to solicit
orders within this state; [(g)] (G) every person
making retail sales from outside this state to a
destination within this state and not maintaining
a place of business in this state who engages in
regular or systematic solicitation of sales of
tangible personal property in this state [(A)] (i)
by the display of advertisements on billboards or
other outdoor advertising in this state, [(B)]
(ii) by the distribution of catalogs, periodicals,
advertising flyers or other advertising by means
of print, radio or television media or [(C)] (iii)
by mail, telegraphy, telephone, computer data
base, cable, optic, microwave or other
communication system, for the purpose of effecting
retail sales of tangible personal property,
provided such person has made one hundred or more
retail sales from outside this state to
destinations within this state during the
twelve-month period ended on the September
thirtieth immediately preceding the monthly or
quarterly period with respect to which such
person's liability for tax under this chapter is
determined; [(h)] (H) any person owned or
controlled, either directly or indirectly, by a
retailer engaged in business in this state which
is the same as or similar to the line of business
in which such person so owned or controlled is
engaged; [(i)] (I) any person owned or controlled,
either directly or indirectly, by the same
interests that own or control, either directly or
indirectly, a retailer engaged in business in this
state which is the same as or similar to the line
of business in which such person so owned or
controlled is engaged; [(j)] (J) any assignee of a
person engaged in the business of leasing tangible
personal property to others, where leased property
of such person which is subject to taxation under
this chapter is situated within this state and
such assignee has a security interest, as defined
in subsection (37) of section 42a-1-201, in such
property.
Sec. 15. Subsection (27) of section 12-407 of
the general statutes is repealed and the following
is substituted in lieu thereof:
(27) "Community antenna television service"
means (1) the one-way transmission to subscribers
of video programming or information [that a
community antenna television company makes
available to all subscribers generally] BY CABLE,
FIBER OPTICS, SATELLITE, MICROWAVE OR ANY OTHER
MEANS, and subscriber interaction, if any, which
is required for the selection of such video
programming or information and (2) noncable
communications service, as defined in section
16-1.
Sec. 16. Section 12-407 of the general
statutes is amended by adding subsection (30) as
follows:
(NEW) (30) "Another state" or "other state"
means any state of the United States or the
District of Columbia excluding the state of
Connecticut.
Sec. 17. Subsection (1) of section 12-408 of
the general statutes is repealed and the following
is substituted in lieu thereof:
(1) For the privilege of making any sales as
defined in subsection (2) of section 12-407, AS
AMENDED BY SECTION 12 OF THIS ACT, at retail, in
this state for a consideration, a tax is hereby
imposed on all retailers at the rate of six per
cent of the gross receipts of any retailer from
the sale of all tangible personal property sold at
retail or from the rendering of any services
constituting a sale in accordance with subsection
(2) of section 12-407, AS AMENDED BY SECTION 12 OF
THIS ACT, except, in lieu of said rate of six per
cent, (A) at a rate of five and one-half per cent
of the gross receipts of any retailer from the
sale of any repair or replacement parts
exclusively for use in machinery, as defined in
subsection (34) of section 12-412, used directly
in a manufacturing [or agricultural] production
process, (B) at a rate of twelve per cent with
respect to each transfer of occupancy, from the
total amount of rent received for such occupancy
of any room or rooms in a hotel or lodging house
for the first period not exceeding thirty
consecutive calendar days, (C) [at a rate of four
and one-half per cent of the gross receipts of any
retailer from the sale of any motor vehicle to any
person] WITH RESPECT TO THE SALE OF A MOTOR
VEHICLE TO ANY INDIVIDUAL who is a member of the
armed forces of the United States and is on
full-time active duty in Connecticut [but whose
permanent residence is in another state] AND WHO
IS CONSIDERED, UNDER 50 APP USC 574, A RESIDENT OF
ANOTHER STATE, AT A RATE OF FOUR AND ONE-HALF PER
CENT OF THE GROSS RECEIPTS OF ANY RETAILER FROM
SUCH SALES, PROVIDED SUCH RETAILER REQUIRES AND
MAINTAINS AN AFFIDAVIT OR OTHER EVIDENCE,
SATISFACTORY TO THE COMMISSIONER, CONCERNING THE
PURCHASER'S STATE OF RESIDENCE UNDER 50 APP USC
574, (D) with respect to the [sales of vessels to
any resident of another state] SALE OF A VESSEL TO
ANY INDIVIDUAL WHO DOES NOT MAINTAIN A PERMANENT
PLACE OF ABODE IN THIS STATE AND WHO IS A RESIDENT
OF ANOTHER STATE AND WHO DOES NOT PRESENT SUCH
VESSEL FOR REGISTRATION WITH THE DEPARTMENT OF
MOTOR VEHICLES IN THIS STATE, at a rate which is
the lesser of: (i) Six per cent of the gross
receipts of any retailer from such sales or (ii)
the percentage of such gross receipts that is
payable as a STATE sales tax by retailers engaged
in business in the purchaser's state of residence,
provided such retailer requires and maintains an
affidavit or other evidence, satisfactory to the
commissioner, concerning the purchaser's state of
residence, (E) with respect to the sales of
computer and data processing services occurring on
or after July 1, 1997, and prior to July 1, 1998,
at the rate of five per cent, on or after July 1,
1998, and prior to July 1, 1999, at the rate of
four per cent, on or after July 1, 1999, and prior
to July 1, 2000, at the rate of three per cent, on
or after July 1, 2000, and prior to July 1, 2001,
at the rate of two per cent, on and after July 1,
2001, and prior to July 1, 2002, at the rate of
one per cent and on and after July 1, 2002, such
services shall be exempt from such tax, and (F)
with respect to the sales of repair or maintenance
services on vessels as defined in section 15-127,
occurring on or after July 1, 1997, and prior to
July 1, 1998, at the rate of four per cent, on or
after July 1, 1998, and prior to July 1, 1999, at
the rate of two per cent and on and after July 1,
1999, such services shall be exempt from such tax.
The rate of tax imposed by this chapter shall be
applicable to all retail sales upon the effective
date of such rate, except that a new rate which
represents an increase in the rate applicable to
the sale shall not apply to any sales transaction
wherein a binding sales contract without an
escalator clause has been entered into prior to
the effective date of the new rate and delivery is
made within ninety days after the effective date
of the new rate. For the purposes of payment of
the tax imposed under this section, any retailer
of services taxable under subdivision (i) of
subsection (2) of section 12-407, AS AMENDED BY
SECTION 12 OF THIS ACT, who computes taxable
income, for purposes of taxation under the
Internal Revenue Code of 1986, or any subsequent
corresponding internal revenue code of the United
States, as from time to time amended, on an
accounting basis which recognizes only cash or
other valuable consideration actually received as
income and who is liable for such tax only due to
the rendering of such services may make payments
related to such tax for the period during which
such income is received, without penalty or
interest, without regard to when such service is
rendered. INFORMATION ABOUT THE STATE SALES TAX
RATE OF OTHER STATES SHALL, UPON REQUEST, BE
FURNISHED BY THE COMMISSIONER.
Sec. 18. Subsections (1) and (2) of section
12-410 of the general statutes are repealed and
the following is substituted in lieu thereof:
(1) For the purpose of the proper
administration of this chapter and to prevent
evasion of the sales tax it shall be presumed that
all RECEIPTS ARE gross receipts THAT are subject
to the tax until the contrary is established. The
burden of proving that a sale of tangible personal
property or service is not a sale at retail is
upon the person who makes the sale unless he takes
IN GOOD FAITH from the purchaser a certificate to
the effect that the property is purchased for
resale.
(2) The certificate relieves the seller from
the burden of proof only if taken in good faith
from a person who is engaged in the business of
selling tangible personal property and who holds
the permit provided for in section 12-409 and who,
at the time of purchasing the tangible personal
property: (A) Intends to sell it in the regular
course of business; (B) intends to utilize such
personal property in the delivery of landscaping
or [horticultural] HORTICULTURE services, provided
the total sale price of all such landscaping and
[horticultural] HORTICULTURE services are taxable
under this chapter or (C) is unable to ascertain
at the time of purchase whether the property will
be sold or will be used for some other purpose.
THE BURDEN OF ESTABLISHING THAT A CERTIFICATE IS
TAKEN IN GOOD FAITH IS ON THE SELLER. A
certificate to the effect that property is
purchased for resale taken from the purchaser by
the seller shall be deemed to be taken in good
faith if the tangible personal property purchased
is similar to or of the same general character as
property which the seller could reasonably assume
would be sold by the purchaser in the regular
course of business.
Sec. 19. Subsection (1) of section 12-411 of
the general statutes is repealed and the following
is substituted in lieu thereof:
(1) 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
[subdivisions (i) to (l), inclusive, of subsection
(2) of section 12-407, or,] SUBSECTION (2) OF
SECTION 12-407, AS AMENDED BY SECTION 12 OF THIS
ACT, 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 [the property or the consideration
paid for any] such PROPERTY OR services, except,
in lieu of said rate of six per cent, (A) [at a
rate of five and one-half per cent of the sales
price of any repair or replacement parts] WITH
RESPECT TO THE STORAGE, ACCEPTANCE, CONSUMPTION OR
USE OF ANY REPAIR OR REPLACEMENT PARTS PURCHASED
FROM ANY RETAILER FOR STORAGE, ACCEPTANCE,
CONSUMPTION OR USE IN THIS STATE, AT THE RATE OF
FIVE AND ONE-HALF PER CENT OF THE SALES PRICE OF
SUCH PARTS, PROVIDED SUCH PARTS ARE exclusively
for use in machinery, as defined in subsection
(34) of section 12-412, THAT IS used directly in a
manufacturing [or agricultural] production
process, [(B) at a rate of four and one-half per
cent of the sales price of any motor vehicle sold
to any person who is a member of the armed forces
of the United States and is on full-time active
duty in Connecticut but whose permanent residence
is in another state, (C)] (B) 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, (C) 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, AT A RATE OF FOUR AND ONE-HALF PER
CENT OF THE SALES PRICE OF SUCH VEHICLE, PROVIDED
SUCH RETAILER REQUIRES AND MAINTAINS AN AFFIDAVIT
OR OTHER EVIDENCE, SATISFACTORY TO THE
COMMISSIONER, CONCERNING THE PURCHASER'S STATE OF
RESIDENCE UNDER 50 APP USC 574, (D) with respect
to the storage, acceptance, consumption or use in
this state of [vessels] A VESSEL purchased from
any retailer for storage, acceptance, consumption
or any other use in this state by any INDIVIDUAL
WHO DOES NOT MAINTAIN A PERMANENT PLACE OF ABODE
IN THIS STATE AND WHO IS A resident of another
state AND WHO DOES NOT PRESENT SUCH VESSEL FOR
REGISTRATION WITH THE DEPARTMENT OF MOTOR VEHICLES
IN THIS STATE, at a rate which is the lesser of:
(i) Six per cent of the sales price [thereof] OF
SUCH VESSEL or (ii) the percentage of such sales
price that is payable as a STATE use tax by
purchasers making purchases in the purchaser's
state of residence, provided the retailer requires
and maintains an affidavit or other evidence,
satisfactory to the commissioner, concerning the
purchaser's state of residence, [and] (E) with
respect to the sales of repair or maintenance
services on vessels as defined in section 15-127,
occurring on or after July 1, 1997, and prior to
July 1, 1998, at the rate of four per cent, on or
after July 1, 1998, and prior to July 1, 1999, at
the rate of two per cent and on and after July 1,
1999, such services shall be exempt from such tax,
AND (F) 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, AND PRIOR TO JULY 1, 2002, AT
THE RATE OF ONE PER CENT OF SUCH SERVICES AND ON
AND AFTER JULY 1, 2002, SUCH SERVICES SHALL BE
EXEMPT FROM SUCH TAX. INFORMATION ABOUT THE STATE
USE TAX RATE OF OTHER STATES SHALL, UPON REQUEST,
BE FURNISHED BY THE COMMISSIONER.
Sec. 20. Subsection (7) of section 12-411 of
the general statutes is repealed and the following
is substituted in lieu thereof:
(7) Any person violating the provisions of
subsection (3), (5) or (6) shall be fined five
hundred dollars FOR EACH OFFENSE.
Sec. 21. Subsection (29) of section 12-412 of
the general statutes is repealed and the following
is substituted in lieu thereof:
(29) 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 SUBSECTION (2) OF SECTION
12-407, AS AMENDED BY SECTION 12 OF THIS ACT, 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. BEFORE ANY EXEMPT SALES OR
PURCHASES MAY BE MADE UNDER THIS SUBSECTION, THE
NONPROFIT HOUSING ORGANIZATION SPONSORING THE
CONSTRUCTION OF OR OWNING OR OPERATING SUCH
HOUSING FACILITY SHALL OBTAIN FROM THE
COMMISSIONER A LETTER OF DETERMINATION THAT THE
NONPROFIT 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 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, (A) "nonprofit housing organization"
means any [Connecticut] 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; (B) "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; (C) "related
facilities" means those facilities defined in
subsection (d) of section 8-243; and (D) "low and
moderate income families" means those families as
defined in subsection (h) of said section 8-243.
Sec. 22. Subsection (62) of section 12-412 of
the general statutes is repealed and the following
is substituted in lieu thereof:
(62) Subject to the provisions of section
12-412f, sales of any of the services enumerated
in subdivision (i) of subsection (2) of section
12-407, AS AMENDED BY SECTION 12 OF THIS ACT, on
or after July 1, 1987, which are rendered for a
corporation affiliated with the corporation
rendering such service in such manner that [(1)]
(A) either corporation in such transaction owns or
controls either directly or indirectly not less
than one hundred per cent of the capital stock of
the other corporation or [(2)] (B) either
corporation in such transaction is owned or
controlled either directly or indirectly by
interests which own or control either directly or
indirectly not less than one hundred per cent of
the capital stock of the other corporation. [,
provided any such transaction is rendered for
purposes of expense allocation and not for
purposes of profit for the company rendering such
service.]
Sec. 23. Subsections (71) and (72) of section
12-412 of the general statutes are repealed and
the following is substituted in lieu thereof:
(71) Sales of and the storage, use or other
consumption of machinery, equipment, tools,
materials and supplies used [exclusively]
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) Sales of and the storage, use or other
consumption of machinery, equipment, tools,
materials and supplies used [exclusively]
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.
Sec. 24. Subsection (79) of section 12-412 of
the general statutes is repealed and the following
is substituted in lieu thereof:
(79) 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.
Sec. 25. Subsection (85) of section 12-412 of
the general statutes is repealed and the following
is substituted in lieu thereof:
(85) Sales of any [of the services enumerated
in subparagraph (X), (Y) or (Z) of] LANDSCAPING
AND HORTICULTURE SERVICES, WINDOW CLEANING
SERVICES OR MAINTENANCE SERVICES, AS DESCRIBED IN
subdivision (i) of subsection (2) of section
12-407, AS AMENDED BY SECTION 12 OF THIS ACT, 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.
Sec. 26. Subsections (d) and (e) of section
12-412i of the general statutes are repealed and
the following is substituted in lieu thereof:
(d) The burden of proving that an item is
subject to the exemption set forth in this section
is upon the person who makes the sale unless he
takes from the purchaser a certificate to the
effect that the property is subject to such
exemption. The certificate relieves the seller
from the burden of proof only if taken in good
faith by the seller. The certificate shall be
signed by and bear the name and address of the
purchaser. [and shall indicate the number of the
certificate issued to the purchaser.] The
certificate shall be substantially in such form as
the commissioner prescribes.
(e) If a purchaser who gives a certificate
makes any use of the [service or] property other
than the purposes set forth in this section, the
use shall be deemed a use by the purchaser in
accordance with this chapter, as of the time the
[service or] property is first used by him, and
the [service or] property [to him] shall be
taxable to such purchaser in accordance with this
chapter.
Sec. 27. Section 12-414a of the general
statutes is repealed and the following is
substituted in lieu thereof:
[If any corporation, required in accordance
with section 12-414 to file any return for
purposes of the sales and use tax, fails to file
such return or pay to the Commissioner of Revenue
Services the amount of tax related thereto, any
officer of such corporation responsible for or
having supervision of the filing of such return or
payment of such tax who wilfully failed to file
such return or pay such tax shall be personally
liable for the total amount of such tax and any
penalty or interest attributable to such failure,
provided the amount of such tax, penalty or
interest with respect to which such officer is
personally liable under this section] EACH PERSON,
OTHER THAN A RETAILER, WHO IS REQUIRED, ON BEHALF
OF A RETAILER, TO COLLECT, TRUTHFULLY ACCOUNT FOR
AND PAY OVER THE TAX IMPOSED ON SUCH RETAILER
UNDER THIS CHAPTER AND WHO WILFULLY FAILS TO
COLLECT SUCH TAX OR TRUTHFULLY ACCOUNT FOR AND PAY
OVER SUCH TAX OR WHO WILFULLY ATTEMPTS IN ANY
MANNER TO EVADE OR DEFEAT THE TAX OR THE PAYMENT
THEREOF, SHALL, IN ADDITION TO OTHER PENALTIES
PROVIDED BY LAW, BE LIABLE FOR A PENALTY EQUAL TO
THE TOTAL AMOUNT OF THE TAX EVADED, OR NOT
COLLECTED, OR NOT ACCOUNTED FOR AND PAID OVER,
INCLUDING ANY PENALTY OR INTEREST ATTRIBUTABLE TO
SUCH WILFUL FAILURE TO COLLECT OR TRUTHFULLY
ACCOUNT FOR AND PAY OVER SUCH TAX OR SUCH WILFUL
ATTEMPT TO EVADE OR DEFEAT SUCH TAX, PROVIDED SUCH
PENALTY shall only be imposed against such
[officer] PERSON in the event that such tax,
penalty or interest [attributable to such
officer's failure] cannot otherwise be collected
from the [corporation] RETAILER itself in
accordance with section 12-420. The amount of such
[tax,] penalty [or interest] with respect to which
[such officer] A PERSON may be personally liable
under this section shall be collected in
accordance with said section 12-420 and any amount
so collected shall be allowed as a credit against
the amount of such tax, penalty or interest due
and owing from [such corporation] THE RETAILER.
The dissolution of [such corporation] THE RETAILER
shall not discharge [such officer] ANY PERSON in
relation to any personal liability under this
section for wilful failure to [file such return or
pay] COLLECT OR TRUTHFULLY ACCOUNT FOR AND PAY
OVER such tax OR FOR A WILFUL ATTEMPT TO EVADE OR
DEFEAT SUCH TAX prior to dissolution, except as
otherwise provided in this section. FOR PURPOSES
OF THIS SECTION, "PERSON" INCLUDES ANY INDIVIDUAL,
CORPORATION, LIMITED LIABILITY COMPANY OR
PARTNERSHIP AND ANY OFFICER OR EMPLOYEE OF ANY
CORPORATION, INCLUDING A DISSOLVED CORPORATION,
AND A MEMBER OR EMPLOYEE OF ANY PARTNERSHIP OR
LIMITED LIABILITY COMPANY WHO, AS SUCH OFFICER,
EMPLOYEE OR MEMBER, IS UNDER A DUTY TO FILE A TAX
RETURN UNDER THIS CHAPTER ON BEHALF OF A RETAILER
OR TO COLLECT OR TRUTHFULLY ACCOUNT FOR AND PAY
OVER THE TAX IMPOSED UNDER THIS CHAPTER ON BEHALF
OF A RETAILER.
Sec. 28. Subsection (1) of section 12-415 of
the general statutes is repealed and the following
is substituted in lieu thereof:
(1) [(A)] If the commissioner is not satisfied
with the return or returns of the tax or the
amount of tax required to be paid to the state by
any person, he may compute and assess the amount
required to be paid upon the basis of the facts
contained in the return or returns or upon the
basis of any information within his possession or
that may come into his possession. Except in the
case of fraud or intent to evade OR IN THE CASE OF
NEW INFORMATION THAT MAY COME INTO HIS POSSESSION,
the commissioner may not make more than one
assessment for a tax period for which a return has
been filed. [(B) Upon the adoption of regulations
in accordance with the provisions of chapter 54 to
implement the provisions of this section and to
define the terms "imperfect" and "incomplete in
any material respect", the commissioner may,
within the period otherwise prescribed for
assessment, make a single supplemental assessment,
upon written finding by the commissioner that an
earlier assessment is imperfect or incomplete in
any material respect.]
Sec. 29. Subsection (1) of section 12-416 of
the general statutes is repealed and the following
is substituted in lieu thereof:
(1) [(A)] If any person fails to make a
return, the commissioner shall make an estimate of
the amount of the gross receipts of the person or,
as the case may be, of the amount of the total
sales price of services or tangible personal
property sold or purchased by the person, the
storage, acceptance, consumption or other use of
which in this state is subject to the use tax. The
estimate shall be made for the period or periods
in respect to which the person failed to make a
return and shall be based upon any information
which is in the commissioner's possession or may
come into his possession. To the tax imposed upon
the basis of such estimate, there shall be added
an amount equal to fifteen per cent of such tax,
or fifty dollars, whichever is greater. No person
shall be subject to a penalty under both this
section and section 12-419, AS AMENDED BY SECTION
30 OF THIS ACT. [The] EXCEPT IN THE CASE OF NEW
INFORMATION THAT MAY COME INTO HIS POSSESSION, THE
commissioner may not make more than one assessment
for a tax period for which a tax return has not
been filed. [(B) Upon the adoption of regulations
in accordance with the provisions of chapter 54 to
implement the provisions of this section and to
define the terms "imperfect" and "incomplete in
any material respect", the commissioner may make a
single supplemental assessment, upon written
finding by the commissioner that an earlier
assessment is imperfect or incomplete in any
material respect.]
Sec. 30. Section 12-419 of the general
statutes is repealed and the following is
substituted in lieu thereof:
(a) Any person, OTHER THAN AN INDIVIDUAL
MAKING PURCHASES FOR PERSONAL USE OR CONSUMPTION
AND NOT MAKING PURCHASES FOR USE OR CONSUMPTION IN
CARRYING ON A TRADE, OCCUPATION, BUSINESS OR
PROFESSION, who fails to pay any tax to the state
or any amount of tax required to be collected and
paid to the state, except amounts of assessments
made by the commissioner under sections 12-415 and
12-416, AS AMENDED BY SECTIONS 28 AND 29,
RESPECTIVELY, OF THIS ACT, within the time
required shall pay, IN ADDITION TO SUCH TAX OR
SUCH AMOUNT OF TAX REQUIRED TO BE COLLECTED AND
PAID, a penalty of fifteen per cent of the tax or
fifty dollars, whichever amount is greater, [in
addition to the tax or amount of the tax,] plus
interest ON SUCH TAX OR SUCH AMOUNT OF TAX
REQUIRED TO BE COLLECTED AND PAID at the rate of
one per cent per month or fraction thereof from
the due date [of such tax or amount of tax
required to be collected] to the date of payment.
(b) ANY INDIVIDUAL MAKING PURCHASES FOR
PERSONAL USE OR CONSUMPTION AND NOT MAKING
PURCHASES FOR USE OR CONSUMPTION IN CARRYING ON A
TRADE, OCCUPATION, BUSINESS OR PROFESSION WHO
FAILS TO PAY USE TAX TO THE STATE, EXCEPT AMOUNTS
OF ASSESSMENTS MADE BY THE COMMISSIONER UNDER
SECTIONS 12-415 AND 12-416, AS AMENDED BY SECTIONS
28 AND 29, RESPECTIVELY, OF THIS ACT, WITHIN THE
TIME REQUIRED SHALL PAY, IN ADDITION TO SUCH TAX,
A PENALTY OF TEN PER CENT OF THE TAX, PLUS
INTEREST ON SUCH TAX AT THE RATE OF ONE PER CENT
PER MONTH OR FRACTION THEREOF FROM THE DUE DATE OF
SUCH TAX TO THE DATE OF PAYMENT.
(c) Subject to the provisions of section
12-3a, AS AMENDED BY SECTION 2 OF THIS ACT, the
commissioner may waive all or any part of the
penalties provided under this chapter when it is
proven to the satisfaction of the commissioner
that failure to pay any tax was due to reasonable
cause and was not intentional or due to neglect.
Sec. 31. Subsection (a) of section 12-431 of
the general statutes is repealed and the following
is substituted in lieu thereof:
(a) In case of the purchase of any motor
vehicle, snowmobile, vessel or aircraft other than
from a licensed motor vehicle dealer OR LICENSED
MOTOR VEHICLE LESSOR, a snowmobile dealer, a
licensed marine dealer or a retailer of aircraft,
respectively, the receipts therefrom shall not be
included in the measure of the sales tax, but the
purchaser thereof shall pay a use tax on the total
purchase price thereof to the Commissioner of
Revenue Services, as provided in section 12-411,
AS AMENDED BY SECTIONS 19 AND 20 OF THIS ACT, in
the case of tangible personal property purchased
from a retailer, and, in the case of motor
vehicles, vessels and snowmobiles, before
obtaining an original or transferral registration,
in accordance with regulations prescribed by the
Commissioner of Revenue Services and on forms
approved by the Commissioner of Revenue Services
and the Commissioner of Motor Vehicles, and, in
the case of aircraft, before obtaining an original
or transferral registration, in accordance with
regulations prescribed by the Commissioner of
Revenue Services and on forms approved by the
Commissioner of Revenue Services and the
Commissioner of Transportation; provided no use
tax shall be payable in cases of transfer or
purchase (1) when the transferee or purchaser is
the spouse, mother, father, brother, sister or
child of the transferor or seller, (2) when a
motor vehicle or vessel is transferred or sold in
connection with the organization, reorganization
or liquidation of an incorporated business,
provided (A) the last taxable sale, transfer or
use of the motor vehicle or vessel was subjected
to a tax imposed by this chapter, (B) the
transferee is the incorporated business or a
stockholder thereof and (C) any gain or loss to
the transferor is not recognized for federal
income tax purposes under the provisions of the
Internal Revenue Code and Treasury regulations and
rulings issued thereunder, (3) when a motor
vehicle is transferred or sold in connection with
the organization or termination of a partnership,
provided (A) the last taxable sale, transfer or
use of the motor vehicle was subjected to a tax
imposed by this chapter, (B) the transferee is the
partnership or a partner thereof, and (C) any gain
or loss to the transferor is not recognized for
federal income tax purposes under the provisions
of the Internal Revenue Code and Treasury
regulations and rulings issued thereunder or (4)
when a motor vehicle which has been declared a
total loss pursuant to the provisions of section
14-16c is rebuilt for sale or use, provided the
transferee was subjected to the tax imposed by
this chapter for the last taxable sale of said
vehicle.
Sec. 32. Section 12-433 of the general
statutes is repealed and the following is
substituted in lieu thereof:
Wherever used in this chapter, unless the
context otherwise requires: "Alcoholic beverage"
and "beverage" include wine, beer and liquor as
defined in this section; "absolute alcohol" means
dehydrated alcohol containing not less than
ninety-nine per cent by weight of ethyl alcohol;
"beer" means any beverage obtained by the
alcoholic fermentation of an infusion or decoction
of barley, malt and hops in drinking water and
containing more than one-half of one per cent of
absolute alcohol by volume; "wine" means any
alcoholic beverage obtained by the fermentation of
natural sugar contents of fruits or other
agricultural products containing sugar; "still
wine" means any [noneffervescent] wine THAT
CONTAINS NOT MORE THAN THREE HUNDRED NINETY-TWO
ONE THOUSANDTHS (0.392) OF A GRAM OF CARBON
DIOXIDE PER HUNDRED MILLILITERS OF WINE, and shall
include any fortified wine, CIDER THAT IS MADE
FROM THE ALCOHOLIC FERMENTATION OF THE JUICE OF
APPLES, vermouth and any artificial or imitation
wine or compound sold as "still wine" containing
not less than three and two-tenths per cent of
absolute alcohol by volume; [, but shall not
include cider;] "sparkling wine" means champagne
and any other effervescent wine charged with MORE
THAN THREE HUNDRED NINETY-TWO ONE THOUSANDTHS
(0.392) OF A GRAM OF carbon dioxide PER HUNDRED
MILLILITERS OF WINE, whether artificially or as a
result of secondary fermentation of the wine
within the container; "fortified wine" means any
wine, the alcoholic contents of which have been
increased, by whatever process, beyond that
produced by natural fermentation; "liquor" means
any beverage which contains alcohol obtained by
distillation mixed with drinkable water and other
substances in solution; "liquor cooler" means any
liquid combined with liquor, as defined in this
section, containing not more than seven per cent
of alcohol by volume; "gallon" or "wine gallon"
means one hundred twenty-eight fluid ounces;
"proof gallon" means the equivalent of one wine
gallon at 100 proof; "proof spirit" or "proof"
shall be held to be that alcoholic liquor which
contains one-half by volume of alcohol of a
specific gravity of seventy-nine hundred and
thirty-nine ten-thousandths (0.7939) at 60 F;
"alcohol" means ethyl alcohol, hydrated oxide of
ethyl or spirit of wine, from whatever source or
by whatever process produced; "person" means any
individual, firm, fiduciary, partnership,
corporation, limited liability company, trust or
association, however formed; "taxpayer" means any
person liable to taxation under this chapter
except railroad and airline companies so far as
they conduct such beverage business in cars or
passenger trains or on airplanes; "distributor"
means any person, wherever resident or located,
who holds a wholesaler's or manufacturer's permit
or wholesaler or manufacturer permit for beer only
issued under chapter 545, or his backer, if any;
"licensed distributor" means a distributor holding
a license issued by the Commissioner of Revenue
Services under the provisions of this chapter;
"tax period" means any period of one calendar
month, or any part thereof; "barrel" means not
less than twenty-eight nor more than thirty-one
gallons; "half barrel" means not less than
fourteen nor more than fifteen and one-half
gallons; "QUARTER BARREL" MEANS NOT LESS THAN
SEVEN NOR MORE THAN SEVEN AND THREE-QUARTERS
GALLONS; "sell" or "sale" includes and applies to
gifts, exchanges and barter and includes any
alcoholic beverages coming into the possession of
a distributor which cannot be satisfactorily
accounted for by the distributor to the
Commissioner of Revenue Services.
Sec. 33. Section 12-435 of the general
statutes is repealed and the following is
substituted in lieu thereof:
Each distributor of alcoholic beverages shall
pay a tax to the state on all sales within the
state of alcoholic beverages, except sales to
licensed distributors, sales of alcoholic
beverages which, in the course of such sales, are
actually transported to some point without the
state and except malt beverages which are consumed
on the premises covered by a manufacturer's
permit, at the rates for the respective categories
of alcoholic beverages listed below:
(a) Beer, six dollars for each barrel, three
dollars for each half barrel, one dollar and fifty
cents for each quarter barrel [(which in this
chapter shall mean not less than seven nor more
than seven and three-quarters gallons),] and
twenty cents per wine gallon or fraction thereof
on quantities less than a quarter barrel;
(b) Liquor, four dollars and fifty cents per
wine gallon;
(c) Still wines containing not more than
twenty-one per cent of absolute alcohol, except as
provided in [subsection] SUBSECTIONS (g) AND (h)
of this section, sixty cents per wine gallon;
(d) Still wines containing more than
twenty-one per cent of absolute alcohol and
sparkling wines, one dollar and fifty cents per
wine gallon;
(e) Alcohol in excess of 100 proof, four
dollars and fifty cents per proof gallon;
(f) Liquor coolers containing not more than
seven per cent of alcohol by volume, two dollars
and five cents per wine gallon; [and]
(g) Still wine containing not more than
twenty-one per cent of absolute alcohol, produced
by a person who produces not more than fifty-five
thousand wine gallons of wine during the calendar
year, fifteen cents per wine gallon, provided such
person presents to each distributor of alcoholic
beverages described in this section a certificate,
issued by the commissioner, stating that such
person produces not more than fifty-five thousand
wine gallons of wine during the calendar year. The
commissioner is authorized to issue such
certificates, prescribe the procedures for
obtaining such certificates and prescribe their
form; AND
(h) CIDER CONTAINING NOT MORE THAN SEVEN PER
CENT OF ABSOLUTE ALCOHOL SHALL BE SUBJECT TO THE
SAME RATE AS APPLIES TO BEER, AS PROVIDED IN
SUBSECTION (a) OF THIS SECTION.
Sec. 34. Subdivision (3) of subsection (a) of
section 12-458 of the general statutes is repealed
and the following is substituted in lieu thereof:
(3) Said tax shall not be payable on such fuel
as may have been (A) sold to the United States,
(B) sold to a municipality of this state, for use
by any contractor performing a service for such
municipality in accordance with a contract,
provided such fuel is used by such contractor
exclusively for the purposes of and in accordance
with such contract, (C) sold to a municipality of
this state, a transit district of this state, or
this state, at other than a retail outlet, for
governmental purposes and for use in vehicles
owned and operated, or leased and operated by such
municipality, such transit district or this state,
(D) sold to a person licensed as a distributor in
this state under section 12-456, (E) transferred
from storage within this state to some point
without this state, (F) sold to the holder of a
permit issued under section 12-458a for sale or
use without this state, (G) sold to the holder of
a permit issued under subsection (63) of section
12-412, provided (i) such fuel is not used in
motor vehicles [licensed] REGISTERED or required
to be [licensed] REGISTERED to operate upon the
public highways of this state, unless such fuel is
used in motor vehicles registered exclusively for
farming purposes, (ii) such fuel is not delivered,
upon such sale, to a tank in which such person
keeps fuel for personal and farm use and (iii) an
affidavit, prescribed as to form by the
Commissioner of Revenue Services, affirming that
such fuel is used exclusively for farming
purposes, is submitted by such person to the
distributor, (H) sold exclusively to furnish power
for an industrial plant in the actual fabrication
of finished products to be sold, [or for an
agricultural production process,] or for the
fishing industry, (I) sold exclusively for heating
purposes, [or] (J) sold exclusively to furnish
gas, water, steam or electricity, if delivered to
consumers through mains, lines or pipes, (K) SOLD
TO THE OWNER OR OPERATOR OF AN AIRCRAFT, AS
DEFINED IN SECTION 15-34, EXCLUSIVELY FOR AVIATION
PURPOSES, PROVIDED (i) FOR PURPOSES OF THIS
SUBDIVISION, "AVIATION PURPOSES" MEANS FOR THE
PURPOSE OF POWERING AN AIRCRAFT OR AN AIRCRAFT
ENGINE, (ii) SUCH FUEL IS DELIVERED, UPON SUCH
SALE, TO A TANK IN WHICH FUEL IS KEPT EXCLUSIVELY
FOR AVIATION PURPOSES, AND (iii) AN AFFIDAVIT,
PRESCRIBED AS TO FORM BY THE COMMISSIONER OF
REVENUE SERVICES, AFFIRMING THAT SUCH FUEL IS USED
EXCLUSIVELY FOR AVIATION PURPOSES, IS SUBMITTED BY
SUCH PERSON TO THE DISTRIBUTOR, OR (L) SOLD TO A
DEALER WHO IS LICENSED UNDER SECTION 12-462, AS
AMENDED BY SECTION 36 OF THIS ACT, AND WHOSE PLACE
OF BUSINESS IS LOCATED UPON AN ESTABLISHED AIRPORT
WITHIN THIS STATE.
Sec. 35. Section 12-458e of the general
statutes is repealed and the following is
substituted in lieu thereof:
[If any corporation, required in accordance
with section 12-458 to file any report for
purposes of the motor fuels tax, fails to file
such return or pay to the Commissioner of Revenue
Services the amount of tax related thereto, any
officer of such corporation responsible for or
having supervision of the filing of such return or
payment of such tax who wilfully failed to file
such return or pay such tax shall be personally
liable for the total amount of such tax and any
penalty or interest attributable to such failure,
provided the amount of such tax, penalty or
interest with respect to which such officer is
personally liable under this section] EACH PERSON,
OTHER THAN A DISTRIBUTOR, WHO IS REQUIRED, ON
BEHALF OF A DISTRIBUTOR, TO COLLECT, TRUTHFULLY
ACCOUNT FOR AND PAY OVER THE TAX IMPOSED ON SUCH
DISTRIBUTOR UNDER THIS CHAPTER AND WHO WILFULLY
FAILS TO COLLECT SUCH TAX OR TRUTHFULLY ACCOUNT
FOR AND PAY OVER SUCH TAX OR WHO WILFULLY ATTEMPTS
IN ANY MANNER TO EVADE OR DEFEAT THE TAX OR THE
PAYMENT THEREOF, SHALL, IN ADDITION TO OTHER
PENALTIES PROVIDED BY LAW, BE LIABLE FOR A PENALTY
EQUAL TO THE TOTAL AMOUNT OF THE TAX EVADED, OR
NOT COLLECTED, OR NOT ACCOUNTED FOR AND PAID OVER,
INCLUDING ANY PENALTY OR INTEREST ATTRIBUTABLE TO
SUCH WILFUL FAILURE TO COLLECT OR TRUTHFULLY
ACCOUNT FOR AND PAY OVER SUCH TAX OR SUCH WILFUL
ATTEMPT TO EVADE OR DEFEAT SUCH TAX, PROVIDED SUCH
PENALTY shall only be imposed against such
[officer] PERSON in the event that such tax,
penalty or interest [attributable to such
officer's failure] cannot otherwise be collected
from the [corporation] DISTRIBUTOR itself in
accordance with section 12-475. The amount of such
[tax,] penalty [or interest] with respect to which
[such officer] A PERSON may be personally liable
under this section shall be collected in
accordance with said section 12-475 and any amount
so collected shall be allowed as a credit against
the amount of such tax, penalty or interest due
and owing from [such corporation] THE DISTRIBUTOR.
The dissolution of such [corporation] DISTRIBUTOR
shall not discharge [such officer] ANY PERSON in
relation to any personal liability under this
section for wilful failure to [file such return or
pay such tax prior to dissolution, except as
otherwise provided in this section] COLLECT OR
TRUTHFULLY ACCOUNT FOR AND PAY OVER SUCH TAX OR
FOR A WILFUL ATTEMPT TO EVADE OR DEFEAT SUCH TAX
PRIOR TO DISSOLUTION, EXCEPT AS OTHERWISE PROVIDED
IN THIS SECTION. FOR PURPOSES OF THIS SECTION,
"PERSON" INCLUDES ANY INDIVIDUAL, CORPORATION,
LIMITED LIABILITY COMPANY OR PARTNERSHIP AND ANY
OFFICER OR EMPLOYEE OF ANY CORPORATION, INCLUDING
A DISSOLVED CORPORATION, AND A MEMBER OR EMPLOYEE
OF ANY PARTNERSHIP OR LIMITED LIABILITY COMPANY
WHO, AS SUCH OFFICER, EMPLOYEE OR MEMBER, IS UNDER
A DUTY TO FILE A TAX RETURN UNDER THIS CHAPTER ON
BEHALF OF A DISTRIBUTOR OR TO COLLECT OR
TRUTHFULLY ACCOUNT FOR AND PAY OVER THE TAX
IMPOSED UNDER THIS CHAPTER ON BEHALF OF A
DISTRIBUTOR.
Sec. 36. Subsection (a) of section 12-462 of
the general statutes is repealed and the following
is substituted in lieu thereof:
(a) [Aviation fuel only shall not be subject
to the tax imposed under section 12-458 when such
fuel is used exclusively for aviation purposes,
provided such fuel is sold by the distributor to a
licensed dealer whose place of business is located
upon an established airport within this state.]
The commissioner may license dealers to purchase
[and sell such nontaxable aviation gasoline] FUEL
THAT IS EXEMPT UNDER SUBPARAGRAPH (M) OF
SUBDIVISION (3) OF SUBSECTION (a) OF SECTION
12-458, AS AMENDED BY SECTION 34 OF THIS ACT, FROM
DISTRIBUTORS AND TO SELL SUCH NONTAXABLE FUEL,
provided they can properly control such sale,
through meters or by full tank wagon compartment
delivery, directly into the fuel tank of any
[airplane] AIRCRAFT OR AIRCRAFT ENGINE. The dealer
so licensed shall keep and maintain proper
accounting records of all purchases from the
[supplier] DISTRIBUTOR and sales invoices to the
purchaser, showing the signature of the purchaser
and the license number of the [plane] AIRCRAFT
serviced, and the inventory on hand on the first
day of each month. Such records shall be preserved
for a period of at least three years and shall be
audited by the commissioner at regular intervals.
Any discrepancies found to exist for which a
satisfactory explanation cannot be submitted shall
be subject to the tax imposed by section 12-458
against such dealer. The license to sell [aviation
fuel, used exclusively for aviation purposes,]
FUEL AS A DEALER UNDER THIS SUBSECTION may be
revoked if the licensee fails [in his duties] to
properly control and safeguard the state from any
diversion to uses other than those specified in
this section.
Sec. 37. Section 12-487 of the general
statutes is repealed and the following is
substituted in lieu thereof:
(a) [On or after January 1, 1996, the
Commissioner of Revenue Services shall provide by
regulation, in accordance with the provisions of
chapter 54, for the registration, for a fee of ten
dollars, of each vehicle operated by a motor
carrier] EACH MOTOR CARRIER OPERATING OR CAUSING
TO BE OPERATED ON ANY HIGHWAY IN THIS STATE ANY
QUALIFIED MOTOR VEHICLE, AS DEFINED IN SECTION
12-478, SOLELY AND EXCLUSIVELY IN INTRASTATE
COMMERCE SHALL REGISTER EACH SUCH VEHICLE WITH THE
COMMISSIONER OF REVENUE SERVICES, FOR A FEE OF TEN
DOLLARS PER VEHICLE, which registration shall be
renewable annually. On the registration of any
such vehicle, said commissioner shall provide
identification markers for such vehicle to be
affixed to the lower rear portion of the exterior
side of the vehicle's doors. Such marker shall
remain the property of the state and may be
recalled for any violation of the provisions of
this chapter or of the regulations promulgated
hereunder.
(b) (1) EACH MOTOR CARRIER OPERATING OR
CAUSING TO BE OPERATED ON ANY HIGHWAY IN THIS
STATE ANY QUALIFIED MOTOR VEHICLE, AS DEFINED IN
SECTION 12-478, IN INTERSTATE COMMERCE SHALL, IF
SUCH CARRIER'S BASE JURISDICTION IS THIS STATE,
FOR PURPOSES OF ANY AGREEMENT ENTERED INTO BY THE
COMMISSIONER UNDER SUBSECTION (c) OF SECTION
12-486, REGISTER EACH SUCH VEHICLE WITH THE
COMMISSIONER OF REVENUE SERVICES, FOR A FEE OF TEN
DOLLARS PER VEHICLE, WHICH REGISTRATION SHALL BE
RENEWABLE ANNUALLY. ON THE REGISTRATION OF ANY
SUCH VEHICLE, THE COMMISSIONER SHALL PROVIDE
IDENTIFICATION MARKERS FOR SUCH VEHICLE TO BE
AFFIXED AS REQUIRED BY SUCH AGREEMENT. SUCH MARKER
SHALL REMAIN THE PROPERTY OF THE STATE AND MAY BE
RECALLED FOR ANY VIOLATION OF THE PROVISIONS OF
THIS CHAPTER OR OF THE REGULATIONS ADOPTED
THEREUNDER.
(2) EACH MOTOR CARRIER OPERATING OR CAUSING TO
BE OPERATED ON ANY HIGHWAY IN THIS STATE ANY
QUALIFIED MOTOR VEHICLE, AS DEFINED IN SECTION
12-478, IN INTERSTATE COMMERCE SHALL, IF SUCH
CARRIER'S BASE JURISDICTION IS OTHER THAN THIS
STATE, FOR PURPOSES OF ANY AGREEMENT ENTERED INTO
BY THE COMMISSIONER UNDER SUBSECTION (c) OF
SECTION 12-486, AFFIX, IN THE MANNER REQUIRED BY
SUCH AGREEMENT, IDENTIFICATION MARKERS TO SUCH
VEHICLE.
(c) No person shall operate or cause to be
operated any such vehicle in this state unless
such vehicle bears the identification markers
required by this section, provided the
commissioner by letter or telegram may authorize
the operation, for a period not to exceed ten days
as to any one motor carrier, of a vehicle or
vehicles without such identification marker when
the enforcement of this section would cause undue
delay and hardship in the operation of such
vehicle or vehicles and when the enforcement of
this chapter will not be adversely affected. ANY
PERSON OPERATING OR CAUSING TO BE OPERATED IN THIS
STATE ANY QUALIFIED MOTOR VEHICLE, AS DEFINED IN
SECTION 12-478, TO WHICH THE IDENTIFICATION
MARKERS REQUIRED BY THIS SECTION OR ANY
REGULATIONS ADOPTED IN ACCORDANCE WITH THE
PROVISIONS OF CHAPTER 54 ARE NOT PROPERLY AFFIXED
SHALL HAVE COMMITTED AN INFRACTION, THE FINE FOR
WHICH SHALL BE NINETY DOLLARS. ANY PROVISION OF
THE GENERAL STATUTES TO THE CONTRARY
NOTWITHSTANDING, ANY PERSON WHO IS ALLEGED TO HAVE
COMMITTED SUCH AN INFRACTION SHALL FOLLOW THE
PROCEDURES SET FORTH IN SECTION 51-164n.
Sec. 38. Section 12-547a of the general
statutes is repealed and the following is
substituted in lieu thereof:
[If any corporation, required in accordance
with section 12-547 to file any return for
purposes of the admissions, cabaret or dues tax,
fails to file such return or pay to the
Commissioner of Revenue Services the amount of tax
related thereto, any officer of such corporation
responsible for or having supervision of the
filing of such return or payment of such tax who
wilfully failed to file such return or pay such
tax shall be personally liable for the total
amount of such tax and any penalty or interest
attributable to such failure, provided the amount
of such tax, penalty or interest with respect to
which such officer is personally liable under this
section] EACH PERSON, OTHER THAN A TAXPAYER, WHO
IS REQUIRED, ON BEHALF OF A TAXPAYER, TO COLLECT,
TRUTHFULLY ACCOUNT FOR AND PAY OVER THE TAX
IMPOSED ON SUCH TAXPAYER UNDER THIS CHAPTER AND
WHO WILFULLY FAILS TO COLLECT SUCH TAX OR
TRUTHFULLY ACCOUNT FOR AND PAY OVER SUCH TAX OR
WHO WILFULLY ATTEMPTS IN ANY MANNER TO EVADE OR
DEFEAT THE TAX OR THE PAYMENT THEREOF, SHALL, IN
ADDITION TO OTHER PENALTIES PROVIDED BY LAW, BE
LIABLE FOR A PENALTY EQUAL TO THE TOTAL AMOUNT OF
THE TAX EVADED, OR NOT COLLECTED, OR NOT ACCOUNTED
FOR AND PAID OVER, INCLUDING ANY PENALTY OR
INTEREST ATTRIBUTABLE TO SUCH WILFUL FAILURE TO
COLLECT OR TRUTHFULLY ACCOUNT FOR AND PAY OVER
SUCH TAX OR SUCH WILFUL ATTEMPT TO EVADE OR DEFEAT
SUCH TAX, PROVIDED SUCH PENALTY shall only be
imposed against such [officer] PERSON in the event
that such tax, penalty or interest [attributable
to such officer's failure] cannot otherwise be
collected from the [corporation] TAXPAYER itself
in accordance with section 12-555a. The amount of
such [tax,] penalty [or interest] with respect to
which [such officer] A PERSON may be personally
liable under this section shall be collected in
accordance with said section 12-555a and any
amount so collected shall be allowed as a credit
against the amount of such tax, penalty or
interest due and owing from [such corporation] THE
TAXPAYER. The dissolution of such [corporation]
TAXPAYER shall not discharge [such officer] ANY
PERSON in relation to any personal liability under
this section for wilful failure to [file such
return or pay such tax prior to dissolution,
except as otherwise provided in this section]
COLLECT OR TRUTHFULLY ACCOUNT FOR AND PAY OVER
SUCH TAX OR FOR A WILFUL ATTEMPT TO EVADE OR
DEFEAT SUCH TAX PRIOR TO DISSOLUTION, EXCEPT AS
OTHERWISE PROVIDED IN THIS SECTION. FOR PURPOSES
OF THIS SECTION, "PERSON" INCLUDES ANY INDIVIDUAL,
CORPORATION, LIMITED LIABILITY COMPANY OR
PARTNERSHIP AND ANY OFFICER OR EMPLOYEE OF ANY
CORPORATION, INCLUDING A DISSOLVED CORPORATION,
AND A MEMBER OR EMPLOYEE OF ANY PARTNERSHIP OR
LIMITED LIABILITY COMPANY WHO, AS SUCH OFFICER,
EMPLOYEE OR MEMBER, IS UNDER A DUTY TO FILE A TAX
RETURN UNDER THIS CHAPTER ON BEHALF OF A TAXPAYER
OR TO COLLECT OR TRUTHFULLY ACCOUNT FOR AND PAY
OVER THE TAX IMPOSED UNDER THIS CHAPTER ON BEHALF
OF A TAXPAYER.
Sec. 39. Subsection (c) of section 12-555b of
the general statutes is repealed and the following
is substituted in lieu thereof:
(c) After compliance with subsections (a) and
(b) of this section by the applicant, the
commissioner may grant and issue to such applicant
a separate certificate for each place of operation
within the state. A certificate of registration
shall not be assignable and shall be valid only
for the person in whose name it is issued. THE
CERTIFICATE SHALL AT ALL TIMES BE CONSPICUOUSLY
DISPLAYED AT THE PLACE FOR WHICH ISSUED. The
commissioner may refuse to issue a certificate of
registration if he believes that the payment of
any amount due or likely to become due under this
chapter is jeopardized. The commissioner may
continue such refusal until he believes that the
payment of such amounts are no longer in jeopardy.
Sec. 40. Subsection (a) of section 12-638k of
the general statutes is repealed and the following
is substituted in lieu thereof:
(a) [Not later than the tenth day of the month
immediately following the tax due date for the tax
imposed under this chapter] ON OR BEFORE THE FIRST
DAY OF THE FOURTH MONTH FOLLOWING THE END OF EACH
CALENDAR QUARTER, the commissioner shall certify
to the STATE Comptroller an amount equal to eleven
one hundredths of one per cent of the present true
and actual value of the interest in real property
conveyed in each town which has been collected
pursuant to this chapter FOR SUCH QUARTER, which
amount shall be remitted to the town in which such
real property is located. The STATE Comptroller
shall draw his order on the STATE Treasurer not
later than [the twenty-fifth day of such month]
FIFTEEN DAYS FOLLOWING THE DATE ON WHICH THE
COMMISSIONER CERTIFIES AN AMOUNT TO THE STATE
COMPTROLLER. The STATE Treasurer shall pay the
amount to be paid to each town in accordance with
this section [on or before the thirtieth day of
such month] NOT LATER THAN FIVE DAYS FROM THE DATE
ON WHICH THE STATE COMPTROLLER DRAWS HIS ORDER ON
THE STATE TREASURER.
Sec. 41. Section 12-643 of the general
statutes is repealed and the following is
substituted in lieu thereof:
The term "taxable gifts" means the transfers
by gift which are included in taxable gifts for
federal gift tax purposes under Section 2503 and
Sections 2511 to 2514, inclusive, and Sections
2516 to 2519, inclusive, of the Internal Revenue
Code of 1986, or any subsequent corresponding
internal revenue code of the United States, as
from time to time amended, less the deductions
allowed in Sections 2522 to 2524, inclusive, of
said Internal Revenue Code. IN THE ADMINISTRATION
OF THE TAX UNDER THIS CHAPTER, THE COMMISSIONER OF
REVENUE SERVICES SHALL APPLY THE PROVISIONS OF
SECTIONS 2701 TO 2704, INCLUSIVE, OF SAID INTERNAL
REVENUE CODE. The words "secretary or his
delegate" as used in the aforementioned sections
of the Internal Revenue Code means the
Commissioner of Revenue Services.
Sec. 42. Section 12-685 of the general
statutes is repealed and the following is
substituted in lieu thereof:
For the purposes of this chapter:
(1) "Commissioner" means the Commissioner of
Revenue Services or any employee of the
department.
(2) "Department" means the Department of
Revenue Services.
(3) "Electronic funds transfer" means any
transfer of funds that is initiated through an
electronic terminal, telephonic instrument or
computer or magnetic tape so as to order, instruct
or authorize a financial institution to debit or
credit an account but shall not include any
transfer originated by check, draft or similar
paper instrument.
(4) "Person" means any individual,
partnership, company, society, association,
trustee, executor, administrator or other
fiduciary or custodian, public or private
corporation or limited liability company, but does
not include any Connecticut town, city, borough,
consolidated town and city or consolidated town
and borough.
(5) "Tax" means the tax or taxes imposed under
[chapter 207, 208, 209, 210, 211, 212, 219, 220,
221, 225, 227 or 229] THIS TITLE OR ANY OTHER
TITLE OF THE GENERAL STATUTES AND PAYABLE TO THE
COMMISSIONER OF REVENUE SERVICES.
Sec. 43. Subsection (b) of section 12-733 of
the general statutes is repealed and the following
is substituted in lieu thereof:
(b) If the taxpayer omits from CONNECTICUT
ADJUSTED gross income, IN THE CASE OF AN
INDIVIDUAL, OR FROM CONNECTICUT TAXABLE INCOME, IN
THE CASE OF A TRUST OR ESTATE, an amount properly
includable therein which is in excess of
twenty-five per cent of the amount of CONNECTICUT
ADJUSTED gross income OR CONNECTICUT TAXABLE
INCOME, AS THE CASE MAY BE, stated in the return,
a notice of a proposed deficiency assessment may
be mailed to the taxpayer within six years after
the return is filed. For purposes of this
subsection, there shall not be taken into account
any amount which is omitted in the return if such
amount is disclosed in the return, or in a
statement attached to the return, in a manner
adequate to apprise the Commissioner of Revenue
Services of the nature and the amount of such
item.
Sec. 44. Subsection (b) of section 12-736 of
the general statutes is repealed and the following
is substituted in lieu thereof:
(b) Any person who with fraudulent intent
shall fail to pay, to deduct or to withhold and
pay any tax, to make, render, sign or certify any
return [or declaration of estimated tax] or to
supply any information within the time required by
or under this chapter shall be subject to a
penalty of not more than one thousand dollars, in
addition to any other amounts required under this
chapter to be imposed, assessed and collected by
the commissioner.
Sec. 45. Subsection (a) of section 32-305 of
the general statutes is repealed and the following
is substituted in lieu thereof:
(a) The Commissioner of Revenue Services shall
segregate (1) one and one-half per cent of the
gross receipts [from the tax] from sales within
the meaning of subdivision (h) of subsection (2)
of section 12-407, AS AMENDED BY SECTIONS 21 TO
25, INCLUSIVE, OF THIS ACT, by any hotel or
lodging house located in any municipality having a
population of less than sixty-five thousand, (2)
three and one-half per cent of the gross receipts
from such [tax] SALES in any municipality having a
population of sixty-five thousand or more but less
than seventy-five thousand, and (3) four and
one-half per cent of the gross receipts from such
[tax] SALES in any municipality having a
population of seventy-five thousand or more,
provided the commissioner shall segregate three
and one-half per cent of the gross receipts from
such [tax] SALES in the municipality having the
most popular tourist attraction in the state, as
determined by the Office of Tourism, if such
municipality has a population of less than
sixty-five thousand. Such segregated funds shall
be allocated to tourism districts established
under section 32-302 as follows: The portion of
the funds attributable to such tax receipts in a
municipality shall be allocated to the tourism
district in which the municipality is located,
provided (A) one hundred per cent of the amount
attributable to such [tax] GROSS receipts from
sales in Hartford shall be allocated to the
Connecticut Convention Center Authority, (B)
seventy-five per cent of the amount attributable
to such [tax] GROSS receipts from sales in New
Haven shall be allocated to the New Haven Coliseum
Authority, (C) seventy-five per cent of the amount
attributable to such [tax] GROSS receipts from
sales in Stamford shall be allocated to the
Stamford Center for the Arts, (D) seventy-five per
cent of the amount attributable to such [tax]
GROSS receipts from sales in Norwalk shall be
allocated to the Maritime Center Authority, and
(E) seventy-five per cent of the amount
attributable to such [tax] GROSS receipts from
sales in Bridgeport shall be allocated to the
Greater Fairfield district established in section
32-302, for the sole purpose of marketing tourist
attractions located in Bridgeport. If for any
state fiscal year the amount of the allocation
under subparagraph (E) is less than the amount of
funds allocated during the fiscal year ending June
30, 1991, to the then existing Bridgeport
convention and visitors bureau, pursuant to
sections 7-136b and 7-136c of the general
statutes, revised to January 1, 1991, the
Connecticut Tourism Council shall provide a grant
under section 32-300, from the tourism account, in
the amount of such difference, to said Greater
Fairfield district for the purpose set forth in
subparagraph (E). Not later than October 1, 1994,
and annually thereafter, each tourism district and
each authority receiving funds under this section
shall submit to the Connecticut Tourism Council a
full audit of the books and accounts of the
district or authority for the preceding fiscal
year. Each such audit shall be conducted by an
independent certified public accountant. The
Commissioner of Revenue Services shall also
segregate an additional one million dollars of the
[gross] SALES TAX receipts from such [tax] SALES
in the state during each state fiscal year and
allocate such funds to the cultural heritage
development account established under section
10-373bb. The Commissioner of Revenue Services may
adopt regulations, in accordance with the
provisions of chapter 54, concerning accounting
procedures necessary to carry out the purposes of
this section.
Sec. 46. Subsection (c) of section 38a-277 of
the general statutes is repealed and the following
is substituted in lieu thereof:
(c) There is hereby levied upon the
obligation, chose in action or right represented
by the premium charged for such insurance a
premium receipts tax of four per cent of gross
premiums charged for such insurance other than wet
marine and transportation insurance. The term
"premium" shall include all premiums, membership
fees, assessments, dues and any other
consideration for insurance. Such tax shall be in
lieu of all other taxes. The insured shall, ON OR
before March first next succeeding the calendar
year in which the insurance was so procured,
continued or renewed, pay the amount of the tax to
the Commissioner of Revenue Services in accordance
with procedures established and on forms provided
by said Commissioner of Revenue Services. In the
event of cancellation and rewriting of any such
insurance contract the premium for premium
receipts tax purposes shall be the premium in
excess of the unearned premium of the cancelled
insurance contract.
Sec. 47. Subsection (a) of section 51-81b of
the general statutes is repealed and the following
is substituted in lieu thereof:
(a) Any person who has been admitted as an
attorney by the judges of the Superior Court [,
and who] SHALL ANNUALLY ON OR BEFORE JANUARY
FIFTEENTH FILE AN ANNUAL RETURN PRESCRIBED OR
FURNISHED BY THE COMMISSIONER OF REVENUE SERVICES.
IF ANY SUCH PERSON was engaged in the practice of
law in the year preceding the year in which an
occupational tax is due hereunder, SUCH PERSON,
UNLESS EXEMPTED UNDER THIS SECTION, shall annually
on or before January fifteenth pay to the
Commissioner of Revenue Services a tax in the
amount of four hundred fifty dollars.
Sec. 48. (NEW) (a) (1) Whenever any person
carrying on a trade, occupation, business or
profession in this state purchases from a retailer
tangible personal property for use or consumption
in carrying on such trade, occupation, business or
profession, (A) for purposes of subsequently
transporting such property outside this state by
common or contract carrier for use or consumption
thereafter solely outside this state, or (B) for
the purpose of being processed, fabricated or
manufactured into, attached to or incorporated
into, other tangible personal property to be
transported outside this state by common or
contract carrier, and thereafter used or consumed
solely outside this state, such person may claim a
refund of the taxes imposed by chapter 219 of the
general statutes on the purchase of such property.
A claim for refund of the taxes imposed by said
chapter 219 on all such purchases of property
during the calendar year may be filed, along with
substantiating documentation, annually with the
Commissioner of Revenue Services on a form
prepared for such purpose by the commissioner not
later than the first day of the fourth month next
succeeding the end of the calendar year for which
such claim is filed.
(2) The commissioner shall make a
determination as to any such claim not later than
ninety days after receipt thereof and, if
approved, transmit such approval to the State
Comptroller who shall draw his order on the State
Treasurer for payment of such refund. If the
commissioner determines that such claim is not
valid, either in whole or in part, notice of the
proposed disallowance shall be mailed to the
claimant and such notice shall set forth briefly
the commissioner's findings of fact and the basis
of disallowance in each case decided in whole or
in part adversely to the claimant. Sixty days
after the date on which it is mailed, a notice of
proposed disallowance shall constitute a final
disallowance except for such amounts as to which
the claimant has filed, as provided in subdivision
(3) of this subsection, a written protest with the
commissioner.
(3) Within sixty days after the mailing of a
proposed disallowance, the claimant may file with
the commissioner a written protest against the
proposed disallowance in which the claimant shall
set forth the grounds on which the protest is
based. If a protest is filed, the commissioner
shall reconsider the proposed disallowance and, if
the claimant has so requested, may grant or deny
the claimant or the claimant's authorized
representatives an oral hearing.
(4) Notice of the commissioner's determination
shall be mailed to the claimant and such notice
shall set forth briefly the commissioner's
findings of fact and the basis of decision in each
case decided in whole or in part adversely to the
claimant.
(5) The action of the commissioner on the
claimant's protest shall be final upon the
expiration of one month from the date on which he
mails notice of his action to the claimant unless
within such period the claimant seeks judicial
review of the commissioner's determination
pursuant to section 12-422 of the general
statutes.
(6) The commissioner may, at any time within
three years after the date of receipt of such
claim for refund, examine such claim and
supporting documentation and, in the case of any
error is disclosed by such examination, mail a
notice of assessment in the manner provided in
section 12-415 of the general statutes, as amended
by section 28 of this act, as if a return had been
filed with which the commissioner was not
satisfied. In such event, the claimant may
petition for reassessment in the time and manner
provided in section 12-418 of the general
statutes. The order or decision of the
commissioner upon the petition for reassessment
shall be subject to judicial review in the time
and manner provided in section 12-422 of the
general statutes.
(b) (1) Whenever any holder of a permit issued
under this subsection purchases from a retailer
tangible personal property for use or consumption
in carrying on the trade, occupation, business or
profession of such person, (A) for the purpose of
subsequently transporting it outside this state
for use or consumption thereafter solely outside
this state or (B) for the purpose of being
processed, fabricated or manufactured into,
attached to or incorporated into, other tangible
personal property to be transported outside this
state and thereafter used or consumed solely
outside this state, such holder may purchase such
property without payment of the taxes otherwise
imposed by chapter 219 of the general statutes on
the purchase of such property.
(2) The Commissioner of Revenue Services may
pursuant to regulations adopted in accordance with
chapter 54 of the general statutes issue a permit
to any person carrying on a trade, occupation,
business or profession in this state who purchases
from a retailer tangible personal property for use
or consumption in carrying on such trade,
occupation, business or profession, (A) for the
purpose of subsequently transporting it outside
this state for use or consumption thereafter
solely outside this state or (B) for the purpose
of being processed, fabricated or manufactured
into, attached to or incorporated into, other
tangible personal property to be transported
outside this state and thereafter used or consumed
solely outside this state, if the commissioner
determines that the person is carrying on a trade,
occupation, business or profession in this state
and is filing the returns required to be filed by
such person under section 12-414 of the general
statutes and that the enforcement of the
provisions of chapter 219 of the general statutes
shall not be adversely affected.
(3) The permit issued under subdivision (2) of
this subsection shall authorize the holder to the
extent and in the manner specified in the
regulations adopted under said subdivision (2), to
purchase tangible personal property from a
retailer on which the taxes imposed by said
chapter 219 shall not be payable. The regulations
adopted under this subsection shall require (A) an
affidavit, prescribed as to form by the
commissioner, affirming that such property is
purchased for a purpose permitted by this
subsection, (B) a report to be submitted with, and
to be a part of, each return that is required to
be filed under section 12-414 of the general
statutes by the holder of such permit detailing
the persons from whom such tangible personal
property was purchased during the period covered
by such return, the quantities in which and the
dates on which such property was purchased and any
other information deemed necessary by the
commissioner, and (C) periodic registration, at
least annually, for the purpose of the issuance of
a permit, including procedures relating to the
application for the permit, notice concerning the
penalty for misuse of the permit, and required
notarization of the application for such permit.
Sec. 49. (NEW) (a) The Commissioner of Revenue
Services may permit the filing, by computer
transmission or by employing new technology as it
is developed, of any return, statement or other
document that is required by law or regulation to
be filed with said commissioner.
(b) The Commissioner of Revenue Services may
require the filing, by computer transmission or by
employing new technology as it is developed, of
any return, statement or other document that is
required by law or regulation to be filed with
said commissioner by any person who is required
under the provisions of chapter 228g of the
general statutes to pay the tax, to which such
return, statement or other document pertains, by
electronic funds transfer.
(c) For purposes of this section, the
Commissioner of Revenue Services may prescribe
alternative methods for the signing, subscribing
or verifying of such return, statement or other
document by a person that shall have the same
validity, status and consequences as a paper
return, statement or other document that was
actually signed, subscribed or verified by such
person.
(d) Notwithstanding any other provision of the
general statutes, the Commissioner of Revenue
Services may permit the payment of any tax that is
required by law to be paid to him by use of any
new technology as it is developed.
(e) The Commissioner of Revenue Services shall
adopt regulations, in accordance with the
provisions of chapter 54 of the general statutes,
necessary for the administration of this section.
Sec. 50. (NEW) (a) (1) Whenever the provisions
of section 12-35, 12-204, 12-205, 12-206, 12-225,
12-226, 12-229, 12-235, 12-242d, 12-263c, 12-263d,
12-263m, 12-268d, 12-268h, 12-293a, 12-309,
12-330d, 12-330i, 12-376, 12-376a, 12-376b,
12-392, 12-414, 12-415, 12-416, 12-419, 12-419a,
12-439, 12-440, 12-458, 12-458d, 12-486a, 12-488,
12-547, 12-548, 12-590, 12-594, 12-638c, 12-638d,
12-646a, 12-647, 12-655, 12-667, 12-722, 12-723,
12-728, 12-731, 12-735, 22a-132, 22a-232,
22a-237c, 38a-277 or 51-81b of the general
statutes, as amended, require interest to be paid
to the Commissioner of Revenue Services at the
rate of one per cent per month or fraction thereof
or one per cent for each month or fraction
thereof, the Commissioner of Revenue Services may
adopt regulations in accordance with the
provisions of chapter 54 of the general statutes
that require interest to be paid to said
commissioner at the equivalent daily rate in lieu
of such monthly rate.
(2) If such regulations are adopted, such
regulations shall provide that (A) if notice and
demand is made by said commissioner for payment of
any amount to said commissioner, and if such
amount is paid within ten days after the date of
such notice and demand, interest under this
section on the amount so paid shall not be imposed
for the period after the date of such notice and
demand and (B) such regulations are applicable to
interest required to be paid to the Commissioner
of Revenue Services on taxes due and owing on or
after the date specified in such regulations,
whether or not such taxes first became due before
said date.
(b) (1) Whenever the provisions of section
12-208, 12-268l, 12-312, 12-376, 12-392, 12-422,
12-448, 12-463, 12-489, 12-554, 12-638i, 12-730 or
12-732 of the general statutes, as amended,
require interest to be paid by the Commissioner of
Revenue Services at the rate of two-thirds of one
per cent per month or fraction thereof or
two-thirds of one per cent for each month or
fraction thereof, the Commissioner of Revenue
Services may adopt regulations in accordance with
the provisions of chapter 54 of the general
statutes that require interest to be paid by said
commissioner at the equivalent daily rate in lieu
of such monthly rate.
(2) If such regulations are adopted, they
shall provide that (A) interest shall be allowed
and paid, in the case of a refund, from the date
of the overpayment to a date, to be determined by
the commissioner, preceding the date of the refund
check by not more than thirty days and, in the
case of a credit, from the date of the overpayment
to the due date of the amount against which the
credit is taken, and (B) such regulations shall be
applicable to interest required to be paid by the
Commissioner of Revenue Services on amounts due
and owing on or after the date specified in such
regulations, whether or not such amounts first
became due before said date.
Sec. 51. Subsection (f) of section 12-206 of
the general statutes is repealed and the following
is substituted in lieu thereof:
(f) (1) Any [insurance] company subject to ANY
tax OR CHARGE under this chapter, [or any
corporation subject to the charge imposed under
section 12-212a,] believing that it has overpaid
any tax, other than any estimated tax paid
pursuant to section 12-204c, [or any charge, as
the case may be,] due under the provisions of this
chapter may file a claim for refund in writing
with the commissioner within three years from the
due date for which such overpayment was made,
stating the specific grounds upon which the claim
is founded. FAILURE TO FILE A CLAIM WITHIN THE
TIME PRESCRIBED IN THIS SECTION CONSTITUTES A
WAIVER OF ANY DEMAND AGAINST THE STATE ON ACCOUNT
OF OVERPAYMENT. Not later than ninety days
following receipt of such claim for refund, the
commissioner shall determine whether such claim is
valid and, if so determined, said commissioner
shall notify the STATE Comptroller of the amount
of such refund and the STATE Comptroller shall
draw an order on the STATE Treasurer in the amount
thereof for payment to the taxpayer. [Within
thirty days after disallowing any claim] IF THE
COMMISSIONER DETERMINES THAT SUCH CLAIM IS NOT
VALID, EITHER in whole or in part, [the
commissioner shall serve notice of his action on
the claimant. Failure to file a claim within the
time prescribed in this section constitutes a
waiver of any demand against the state on account
of overpayment] HE SHALL MAIL NOTICE OF THE
PROPOSED DISALLOWANCE IN WHOLE OR IN PART OF THE
CLAIM TO THE CLAIMANT, WHICH NOTICE SHALL SET
FORTH BRIEFLY THE COMMISSIONER'S FINDINGS OF FACT
AND THE BASIS OF DISALLOWANCE IN EACH CASE DECIDED
IN WHOLE OR IN PART ADVERSELY TO THE CLAIMANT.
SIXTY DAYS AFTER THE DATE ON WHICH IT IS MAILED, A
NOTICE OF PROPOSED DISALLOWANCE SHALL CONSTITUTE A
FINAL DISALLOWANCE EXCEPT ONLY FOR SUCH AMOUNTS AS
TO WHICH THE COMPANY HAS FILED, AS PROVIDED IN
SUBDIVISION (2) OF THIS SUBSECTION, A WRITTEN
PROTEST WITH THE COMMISSIONER.
(2) ON OR BEFORE THE SIXTIETH DAY AFTER THE
MAILING OF THE PROPOSED DISALLOWANCE, THE COMPANY
MAY FILE WITH THE COMMISSIONER A WRITTEN PROTEST
AGAINST THE PROPOSED DISALLOWANCE IN WHICH IT SETS
FORTH THE GROUNDS ON WHICH THE PROTEST IS BASED.
IF A PROTEST IS FILED, THE COMMISSIONER SHALL
RECONSIDER THE PROPOSED DISALLOWANCE AND, IF THE
COMPANY HAS SO REQUESTED, MAY GRANT OR DENY THE
COMPANY OR ITS AUTHORIZED REPRESENTATIVES AN ORAL
HEARING.
(3) THE COMMISSIONER SHALL MAIL NOTICE OF HIS
DETERMINATION TO THE COMPANY, WHICH NOTICE SHALL
SET FORTH BRIEFLY THE COMMISSIONER'S FINDINGS OF
FACT AND THE BASIS OF DECISION IN EACH CASE
DECIDED IN WHOLE OR IN PART ADVERSELY TO THE
COMPANY.
(4) THE ACTION OF THE COMMISSIONER ON THE
COMPANY'S PROTEST SHALL BE FINAL UPON THE
EXPIRATION OF ONE MONTH FROM THE DATE ON WHICH HE
MAILS NOTICE OF HIS ACTION TO THE COMPANY UNLESS
WITHIN SUCH PERIOD THE COMPANY SEEKS JUDICIAL
REVIEW OF THE COMMISSIONER'S DETERMINATION
PURSUANT TO SUBSECTION (b) OF SECTION 12-208.
Sec. 52. Subsection (b) of section 12-225 of
the general statutes is repealed and the following
is substituted in lieu thereof:
(b) (1) Any company which fails to include in
its return items of deductions or includes items
of nontaxable income or makes any other error in
such return may, within three years from the due
date of the return, file with the commissioner an
amended return, together with a claim for refund
of taxes overpaid as shown by such amended return.
FAILURE TO FILE A CLAIM WITHIN THE TIME PRESCRIBED
IN THIS SECTION CONSTITUTES A WAIVER OF ANY DEMAND
AGAINST THE STATE ON ACCOUNT OF OVERPAYMENT. The
commissioner shall, within one hundred eighty days
of the receipt of such claim, [either refund to
the company the amount of tax overpaid or notify
the company that its claim has been denied]
DETERMINE WHETHER SUCH CLAIM IS VALID AND, IF SO,
THE COMMISSIONER SHALL NOTIFY THE STATE
COMPTROLLER OF THE AMOUNT OF SUCH REFUND AND THE
STATE COMPTROLLER SHALL DRAW AN ORDER ON THE STATE
TREASURER IN THE AMOUNT THEREOF FOR PAYMENT TO
SUCH COMPANY. IF THE COMMISSIONER DETERMINES THAT
SUCH CLAIM IS NOT VALID, EITHER IN WHOLE OR IN
PART, HE SHALL MAIL NOTICE OF THE PROPOSED
DISALLOWANCE IN WHOLE OR IN PART OF THE CLAIM TO
THE COMPANY WHICH NOTICE SHALL SET FORTH BRIEFLY
THE COMMISSIONER'S FINDINGS OF FACT AND THE BASIS
OF DISALLOWANCE IN EACH CASE DECIDED IN WHOLE OR
IN PART ADVERSELY TO THE CLAIMANT. SIXTY DAYS
AFTER THE DATE ON WHICH IT IS MAILED, A NOTICE OF
PROPOSED DISALLOWANCE SHALL CONSTITUTE A FINAL
DISALLOWANCE EXCEPT ONLY FOR SUCH AMOUNT AS TO
WHICH THE COMPANY HAS FILED, AS PROVIDED IN
SUBDIVISION (2) OF THIS SUBSECTION, A WRITTEN
PROTEST WITH THE COMMISSIONER. For the purposes of
computing any refund due or adjusting net income
as a result of the inclusion of income, the
taxation of which by the state of Connecticut is
prohibited by federal law, including the
Constitution of the United States, as applied, no
expenses related to such income shall be deducted
in computing net income under this chapter. [If a
claim is denied, appeal may be made in accordance
with section 12-237.]
(2) ON OR BEFORE THE SIXTIETH DAY AFTER THE
MAILING OF THE PROPOSED DISALLOWANCE, THE COMPANY
MAY FILE WITH THE COMMISSIONER A WRITTEN PROTEST
AGAINST THE PROPOSED DISALLOWANCE IN WHICH IT SETS
FORTH THE GROUNDS ON WHICH THE PROTEST IS BASED.
IF A PROTEST IS FILED, THE COMMISSIONER SHALL
RECONSIDER THE PROPOSED DISALLOWANCE AND, IF THE
COMPANY HAS SO REQUESTED, MAY GRANT OR DENY THE
COMPANY OR ITS AUTHORIZED REPRESENTATIVES AN ORAL
HEARING.
(3) THE COMMISSIONER SHALL MAIL NOTICE OF HIS
DETERMINATION TO THE COMPANY, WHICH NOTICE SHALL
SET FORTH BRIEFLY THE COMMISSIONER'S FINDINGS OF
FACT AND THE BASIS OF DECISION IN EACH CASE
DECIDED IN WHOLE OR IN PART ADVERSELY TO THE
COMPANY.
(4) THE ACTION OF THE COMMISSIONER ON THE
COMPANY'S PROTEST SHALL BE FINAL UPON THE
EXPIRATION OF ONE MONTH FROM THE DATE ON WHICH HE
MAILS NOTICE OF HIS ACTION TO THE COMPANY UNLESS
WITHIN SUCH PERIOD THE COMPANY SEEKS JUDICIAL
REVIEW OF THE COMMISSIONER'S DETERMINATION
PURSUANT TO SECTION 12-237.
Sec. 53. Section 12-226 of the general
statutes is repealed and the following is
substituted in lieu thereof:
(a) (1) Any company whose income, profits or
earnings are changed, adjusted or corrected for
any income year by any official of the United
States government, or any agency thereof, in any
respect affecting the tax imposed by this part,
shall [, on or before the due date or extended due
date of its next return under this chapter, or]
within ninety days after [having received written
notification] THE FINAL DETERMINATION of such
change, adjustment or correction, [whichever is
later] OR AS OTHERWISE REQUIRED BY THE
COMMISSIONER, submit to the commissioner an
affidavit disclosing such changes or adjustments,
CONCEDE THE ACCURACY OF SUCH DETERMINATION OR
STATE WHEREIN IT IS ERRONEOUS, and thereafter
[shall] promptly furnish to the commissioner any
information, schedules, records, documents or
papers relating to such change, adjustment or
correction as he requires. THE TIME FOR FILING
SUCH AFFIDAVIT MAY BE EXTENDED BY THE COMMISSIONER
UPON DUE CAUSE SHOWN. IF, UPON EXAMINATION, THE
COMMISSIONER FINDS THAT THE COMPANY IS LIABLE FOR
THE PAYMENT OF AN ADDITIONAL TAX, HE SHALL, WITHIN
A REASONABLE TIME FROM THE RECEIPT OF SUCH
AFFIDAVIT, NOTIFY THE COMPANY OF THE AMOUNT OF
SUCH ADDITIONAL TAX, TOGETHER WITH INTEREST
THEREON COMPUTED AT THE RATE OF ONE PER CENT PER
MONTH OR FRACTION THEREOF FROM THE DATE WHEN THE
ORIGINAL TAX BECAME DUE AND PAYABLE. WITHIN THIRTY
DAYS OF THE MAILING OF SUCH NOTICE, THE COMPANY
SHALL PAY TO THE COMMISSIONER, IN CASH OR BY
CHECK, DRAFT OR MONEY ORDER, DRAWN TO THE ORDER OF
THE COMMISSIONER OF REVENUE SERVICES, THE AMOUNT
OF SUCH ADDITIONAL TAX AND INTEREST. IF, UPON
EXAMINATION OF SUCH AFFIDAVIT AND RELATED
INFORMATION, THE COMMISSIONER FINDS THAT THE
COMPANY HAS OVERPAID THE TAX DUE THE STATE AND HAS
NOT RECEIVED FROM OR BEEN ALLOWED BY THE UNITED
STATES GOVERNMENT, OR ANY AGENCY THEREOF, A CREDIT
OR A BENEFIT AS A DEDUCTION OR OTHERWISE, FOR OR
BY REASON OF SUCH OVERPAYMENT, THE STATE TREASURER
SHALL PAY THE COMPANY, UPON ORDER OF THE STATE
COMPTROLLER, THE AMOUNT OF SUCH OVERPAYMENT. IF
THE COMMISSIONER DETERMINES THAT THE COMPANY'S
CLAIM OF OVERPAYMENT IS NOT VALID, EITHER IN WHOLE
OR IN PART, HE SHALL MAIL NOTICE OF THE PROPOSED
DISALLOWANCE IN WHOLE OR IN PART OF THE CLAIM TO
THE COMPANY, WHICH NOTICE SHALL SET FORTH BRIEFLY
THE COMMISSIONER'S FINDINGS OF FACT AND THE BASIS
OF DISALLOWANCE IN EACH CASE DECIDED IN WHOLE OR
IN PART ADVERSELY TO THE CLAIMANT. SIXTY DAYS
AFTER THE DATE ON WHICH IT IS MAILED, A NOTICE OF
PROPOSED DISALLOWANCE SHALL CONSTITUTE A FINAL
DISALLOWANCE EXCEPT ONLY FOR SUCH AMOUNTS AS TO
WHICH THE COMPANY HAS FILED, AS PROVIDED IN
SUBDIVISION (2) OF THIS SUBSECTION, A WRITTEN
PROTEST WITH THE COMMISSIONER.
(2) ON OR BEFORE THE SIXTIETH DAY AFTER THE
MAILING OF THE PROPOSED DISALLOWANCE, THE COMPANY
MAY FILE WITH THE COMMISSIONER A WRITTEN PROTEST
AGAINST THE PROPOSED DISALLOWANCE IN WHICH IT SETS
FORTH THE GROUNDS ON WHICH THE PROTEST IS BASED.
IF A PROTEST IS FILED, THE COMMISSIONER SHALL
RECONSIDER THE PROPOSED DISALLOWANCE AND, IF THE
COMPANY HAS SO REQUESTED, MAY GRANT OR DENY THE
COMPANY OR ITS AUTHORIZED REPRESENTATIVES AN ORAL
HEARING.
(3) THE COMMISSIONER SHALL MAIL NOTICE OF HIS
DETERMINATION TO THE COMPANY, WHICH NOTICE SHALL
SET FORTH BRIEFLY THE COMMISSIONER'S FINDINGS OF
FACT AND THE BASIS OF DECISION IN EACH CASE
DECIDED IN WHOLE OR IN PART ADVERSELY TO THE
COMPANY.
(4) THE ACTION OF THE COMMISSIONER ON THE
COMPANY'S PROTEST SHALL BE FINAL UPON THE
EXPIRATION OF ONE MONTH FROM THE DATE ON WHICH HE
MAILS NOTICE OF HIS ACTION TO THE COMPANY UNLESS
WITHIN SUCH PERIOD THE COMPANY SEEKS JUDICIAL
REVIEW OF THE COMMISSIONER'S DETERMINATION
PURSUANT TO SECTION 12-237.
(b) (1) Any company whose return to the
Director of Internal Revenue has been amended
shall, within ninety days after having filed the
amended return, make an amended return to the
commissioner. The time for filing such [affidavit
or] amended return may be extended by the
commissioner upon due cause shown. If, upon
examination, the commissioner finds that the
[taxpayer] COMPANY is liable for the payment of an
additional tax, he shall, within a reasonable time
from the receipt of such amended return, [or
affidavit, notify the taxpayer] NOTIFY THE COMPANY
of the amount of such additional tax, together
with interest thereon computed at the rate of one
per cent per month or fraction thereof from the
date when the original tax became due and payable.
Within thirty days of the mailing of such notice,
the [taxpayer] COMPANY shall pay to the
commissioner, in cash or by check, draft or money
order, drawn to the order of the Commissioner of
Revenue Services, the amount of such additional
tax and interest. If, upon examination of such
amended return [or affidavit] and related
information, the commissioner finds that the
[taxpayer] COMPANY has overpaid the tax due the
state and has not received from or been allowed by
the United States government, or any agency
thereof, a credit or a benefit, as a deduction or
otherwise, for or by reason of such overpayment,
the [taxpayer] COMPANY shall be paid by the State
Treasurer, upon order of the Comptroller, the
amount of such overpayment. IF THE COMMISSIONER
DETERMINES THAT THE COMPANY'S CLAIM OF OVERPAYMENT
IS NOT VALID, EITHER IN WHOLE OR IN PART, HE SHALL
MAIL NOTICE OF THE PROPOSED DISALLOWANCE IN WHOLE
OR IN PART OF THE CLAIM TO THE COMPANY, WHICH
NOTICE SHALL SET FORTH BRIEFLY THE COMMISSIONER'S
FINDINGS OF FACT AND THE BASIS OF DISALLOWANCE IN
EACH CASE DECIDED IN WHOLE OR IN PART ADVERSELY TO
THE CLAIMANT. SIXTY DAYS AFTER THE DATE ON WHICH
IT IS MAILED, A NOTICE OF PROPOSED DISALLOWANCE
SHALL CONSTITUTE A FINAL DISALLOWANCE EXCEPT ONLY
FOR SUCH AMOUNTS AS TO WHICH THE COMPANY HAS
FILED, AS PROVIDED IN SUBDIVISION (2) OF THIS
SUBSECTION, A WRITTEN PROTEST WITH THE
COMMISSIONER.
(2) ON OR BEFORE THE SIXTIETH DAY AFTER THE
MAILING OF THE PROPOSED DISALLOWANCE, THE COMPANY
MAY FILE WITH THE COMMISSIONER A WRITTEN PROTEST
AGAINST THE PROPOSED DISALLOWANCE IN WHICH IT SETS
FORTH THE GROUNDS ON WHICH THE PROTEST IS BASED.
IF A PROTEST IS FILED, THE COMMISSIONER SHALL
RECONSIDER THE PROPOSED DISALLOWANCE AND, IF THE
COMPANY HAS SO REQUESTED, MAY GRANT OR DENY THE
COMPANY OR ITS AUTHORIZED REPRESENTATIVES AN ORAL
HEARING.
(3) THE COMMISSIONER SHALL MAIL NOTICE OF HIS
DETERMINATION TO THE COMPANY, WHICH NOTICE SHALL
SET FORTH BRIEFLY THE COMMISSIONER'S FINDINGS OF
FACT AND THE BASIS OF DECISION IN EACH CASE
DECIDED IN WHOLE OR IN PART ADVERSELY TO THE
COMPANY.
(4) THE ACTION OF THE COMMISSIONER ON THE
COMPANY'S PROTEST SHALL BE FINAL UPON THE
EXPIRATION OF ONE MONTH FROM THE DATE ON WHICH HE
MAILS NOTICE OF HIS ACTION TO THE COMPANY UNLESS
WITHIN SUCH PERIOD THE COMPANY SEEKS JUDICIAL
REVIEW OF THE COMMISSIONER'S DETERMINATION
PURSUANT TO SECTION 12-237.
Sec. 54. Subsection (a) of section 12-268c of
the general statutes is repealed and the following
is substituted in lieu thereof:
(a) (1) Any company or municipal utility
included in section 12-249, 12-256 or 12-264
believing that it has overpaid any taxes due under
the provisions of chapter 210, 211 or 212 may file
a claim for refund in writing with the
commissioner within three years from the due date
for which such overpayment was made, stating the
specific grounds upon which the claim is founded.
FAILURE TO FILE A CLAIM WITHIN THE TIME PRESCRIBED
IN THIS SECTION CONSTITUTES A WAIVER OF ANY DEMAND
AGAINST THE STATE ON ACCOUNT OF OVERPAYMENT. Not
later than ninety days following receipt of such
claim for refund, the commissioner shall determine
whether such claim is valid and, if so, said
commissioner shall notify the STATE Comptroller of
the amount of such refund and the STATE
Comptroller shall draw an order on the STATE
Treasurer in the amount thereof for payment to
such company or municipal utility. [Within thirty
days after disallowing any claim in whole or in
part, the commissioner shall serve notice of his
action on the claimant. Failure to file a claim
within the time prescribed in this section
constitutes a waiver of any demand against the
state on account of overpayment.] IF THE
COMMISSIONER DETERMINES THAT SUCH CLAIM IS NOT
VALID, EITHER IN WHOLE OR IN PART, HE SHALL MAIL
NOTICE OF THE PROPOSED DISALLOWANCE IN WHOLE OR IN
PART OF THE CLAIM TO THE CLAIMANT, WHICH NOTICE
SHALL SET FORTH BRIEFLY THE COMMISSIONER'S
FINDINGS OF FACT AND THE BASIS OF DISALLOWANCE IN
EACH CASE DECIDED IN WHOLE OR IN PART ADVERSELY TO
THE CLAIMANT. SIXTY DAYS AFTER THE DATE ON WHICH
IT IS MAILED, A NOTICE OF PROPOSED DISALLOWANCE
SHALL CONSTITUTE A FINAL DISALLOWANCE EXCEPT ONLY
FOR SUCH AMOUNTS AS TO WHICH THE TAXPAYER FILED,
AS PROVIDED IN SUBDIVISION (2) OF THIS SUBSECTION,
A WRITTEN PROTEST WITH THE COMMISSIONER.
(2) ON OR BEFORE THE SIXTIETH DAY AFTER THE
MAILING OF THE PROPOSED DISALLOWANCE, THE COMPANY
OR MUNICIPAL UTILITY MAY FILE WITH THE
COMMISSIONER A WRITTEN PROTEST AGAINST THE
PROPOSED DISALLOWANCE IN WHICH IT SHALL SET FORTH
THE GROUNDS ON WHICH THE PROTEST IS BASED. IF A
PROTEST IS FILED, THE COMMISSIONER SHALL
RECONSIDER THE PROPOSED DISALLOWANCE AND, IF THE
COMPANY OR MUNICIPAL UTILITY HAS SO REQUESTED, MAY
GRANT OR DENY THE COMPANY OR MUNICIPAL UTILITY OR
ITS AUTHORIZED REPRESENTATIVES AN ORAL HEARING.
(3) THE COMMISSIONER SHALL MAIL NOTICE OF HIS
DETERMINATION TO THE COMPANY OR MUNICIPAL UTILITY,
WHICH NOTICE SHALL SET FORTH BRIEFLY THE
COMMISSIONER'S FINDINGS OF FACT AND THE BASIS OF
DECISION IN EACH CASE DECIDED IN WHOLE OR IN PART
ADVERSELY TO THE COMPANY OR MUNICIPAL UTILITY.
(4) THE ACTION OF THE COMMISSIONER ON THE
COMPANY OR MUNICIPAL UTILITY'S PROTEST SHALL BE
FINAL UPON THE EXPIRATION OF ONE MONTH FROM THE
DATE ON WHICH HE MAILS NOTICE OF HIS ACTION TO THE
COMPANY OR MUNICIPAL UTILITY UNLESS WITHIN SUCH
PERIOD THE COMPANY OR MUNICIPAL UTILITY SEEKS
JUDICIAL REVIEW OF THE COMMISSIONER'S
DETERMINATION PURSUANT TO SECTION 12-268l.
Sec. 55. Subsection (c) of section 12-412d of
the general statutes is repealed and the following
is substituted in lieu thereof:
(c) (1) Said commissioner shall make a
determination as to any such application within
ninety days after receipt thereof and, if
approved, transmit such approval to the STATE
Comptroller who shall draw his order upon the
STATE Treasurer for payment of such refund. [If
such application is disapproved said commissioner
shall give written notice of such action to the
company submitting such application. Such company
may apply in writing within thirty days after such
notification is delivered or received by mail, for
a hearing, setting forth reasons why such hearing
should be granted. Said commissioner shall
promptly consider such request and may grant or
deny the hearing requested. If the hearing is
denied, such company shall be notified forthwith.
If it is granted, said commissioner shall notify
such company of the time and place fixed for the
hearing. After such hearing said commissioner may
make such order in the premises as appears to him
just and lawful and shall furnish a copy of such
order to the company. (2) Said commissioner may,
at any time within three years after the date of
receipt of such application for refund, examine
such application and supporting documentation and,
in case any error is disclosed by such examination
notify the company thereof within thirty days
after such disclosure. Said commissioner shall
order a hearing concerning such refund in the
manner provided in section 12-421 for purposes of
any return submitted in accordance with this
chapter, including procedures related to
subsequent appeal as provided under section
12-422.] IF THE COMMISSIONER DETERMINES THAT SUCH
APPLICATION IS NOT VALID, EITHER IN WHOLE OR IN
PART, HE SHALL MAIL NOTICE OF THE PROPOSED
DISALLOWANCE TO THE APPLICANT, WHICH NOTICE SHALL
SET FORTH BRIEFLY THE COMMISSIONER'S FINDINGS OF
FACT AND THE BASIS OF DISALLOWANCE IN EACH CASE
DECIDED IN WHOLE OR IN PART ADVERSELY TO THE
APPLICANT. SIXTY DAYS AFTER THE DATE ON WHICH IT
IS MAILED, A NOTICE OF PROPOSED DISALLOWANCE SHALL
CONSTITUTE A FINAL DISALLOWANCE EXCEPT ONLY FOR
SUCH AMOUNTS AS TO WHICH THE APPLICANT HAS FILED,
AS PROVIDED IN SUBDIVISION (2) OF THIS SUBSECTION,
A WRITTEN PROTEST WITH THE COMMISSIONER.
(2) ON OR BEFORE THE SIXTIETH DAY AFTER THE
MAILING OF THE PROPOSED DISALLOWANCE, THE
APPLICANT MAY FILE WITH THE COMMISSIONER A WRITTEN
PROTEST AGAINST THE PROPOSED DISALLOWANCE IN WHICH
THE APPLICANT SHALL SET FORTH THE GROUNDS ON WHICH
THE PROTEST IS BASED. IF A PROTEST IS FILED, THE
COMMISSIONER SHALL RECONSIDER THE PROPOSED
DISALLOWANCE AND, IF THE APPLICANT HAS SO
REQUESTED, MAY GRANT OR DENY THE APPLICANT OR THE
APPLICANT'S AUTHORIZED REPRESENTATIVES AN ORAL
HEARING.
(3) THE COMMISSIONER SHALL MAIL NOTICE OF HIS
DETERMINATION TO THE APPLICANT, WHICH NOTICE SHALL
SET FORTH BRIEFLY THE COMMISSIONER'S FINDINGS OF
FACT AND THE BASIS OF DECISION IN EACH CASE
DECIDED IN WHOLE OR IN PART ADVERSELY TO THE
APPLICANT.
(4) THE ACTION OF THE COMMISSIONER ON THE
APPLICANT'S PROTEST SHALL BE FINAL UPON THE
EXPIRATION OF ONE MONTH FROM THE DATE ON WHICH HE
MAILS NOTICE OF HIS ACTION TO THE APPLICANT UNLESS
WITHIN SUCH PERIOD THE APPLICANT SEEKS JUDICIAL
REVIEW OF THE COMMISSIONER'S DETERMINATION
PURSUANT TO SECTION 12-422.
(5) THE COMMISSIONER MAY, AT ANY TIME WITHIN
THREE YEARS AFTER THE DATE OF RECEIPT OF SUCH
APPLICATION FOR REFUND, EXAMINE SUCH APPLICATION
AND SUPPORTING DOCUMENTATION AND, IN CASE ANY
ERROR IS DISCLOSED BY SUCH EXAMINATION, MAIL A
NOTICE OF ASSESSMENT IN THE MANNER PROVIDED IN
SECTION 12-415 AS IF A RETURN HAD BEEN FILED WITH
WHICH THE COMMISSIONER WAS NOT SATISFIED. IN SUCH
EVENT, THE APPLICANT MAY PETITION FOR REASSESSMENT
IN THE TIME AND MANNER PROVIDED IN SECTION 12-418.
THE ORDER OR DECISION OF THE COMMISSIONER UPON THE
PETITION FOR REASSESSMENT SHALL BE SUBJECT TO
JUDICIAL REVIEW IN THE TIME AND MANNER PROVIDED IN
SECTION 12-422.
Sec. 56. Subsection (5) of section 12-425 of
the general statutes is repealed and the following
is substituted in lieu thereof:
(5) [Within thirty days after disallowing any
claim in whole or in part the commissioner shall
serve notice of his action on the claimant in the
manner prescribed for service of notice of a
deficiency assessment.] (A) THE COMMISSIONER, UPON
RECEIPT OF SUCH CLAIM FOR REFUND, SHALL DETERMINE
WHETHER SUCH CLAIM IS VALID AND, IF SO, SHALL
NOTIFY THE STATE COMPTROLLER OF THE AMOUNT OF SUCH
REFUND AND THE STATE COMPTROLLER SHALL DRAW AN
ORDER ON THE STATE TREASURER FOR PAYMENT OF SUCH
REFUND. IF THE COMMISSIONER DETERMINES THAT SUCH
CLAIM IS NOT VALID, EITHER IN WHOLE OR IN PART, HE
SHALL MAIL NOTICE OF THE PROPOSED DISALLOWANCE TO
THE CLAIMANT IN THE MANNER PRESCRIBED FOR SERVICE
OF NOTICE OF A DEFICIENCY ASSESSMENT. SIXTY DAYS
AFTER THE DATE ON WHICH IT IS MAILED, A NOTICE OF
PROPOSED DISALLOWANCE SHALL CONSTITUTE A FINAL
DISALLOWANCE EXCEPT ONLY FOR SUCH AMOUNTS AS TO
WHICH THE CLAIMANT HAS FILED, AS PROVIDED IN
SUBPARAGRAPH (B) OF THIS SUBDIVISION, A WRITTEN
PROTEST WITH THE COMMISSIONER.
(B) ON OR BEFORE THE SIXTIETH DAY AFTER THE
MAILING OF THE PROPOSED DISALLOWANCE, THE CLAIMANT
MAY FILE WITH THE COMMISSIONER A WRITTEN PROTEST
AGAINST THE PROPOSED DISALLOWANCE IN WHICH THE
CLAIMANT SETS FORTH THE GROUNDS ON WHICH THE
PROTEST IS BASED. IF A PROTEST IS FILED, THE
COMMISSIONER SHALL RECONSIDER THE PROPOSED
DISALLOWANCE AND, IF THE CLAIMANT HAS SO
REQUESTED, MAY GRANT OR DENY THE CLAIMANT OR THE
CLAIMANT'S AUTHORIZED REPRESENTATIVES AN ORAL
HEARING.
(C) THE COMMISSIONER SHALL MAIL NOTICE OF HIS
DETERMINATION TO THE CLAIMANT, WHICH NOTICE SHALL
SET FORTH BRIEFLY THE COMMISSIONER'S FINDINGS OF
FACT AND THE BASIS OF DECISION IN EACH CASE
DECIDED IN WHOLE OR IN PART ADVERSELY TO THE
CLAIMANT.
(D) THE ACTION OF THE COMMISSIONER ON THE
CLAIMANT'S PROTEST SHALL BE FINAL UPON THE
EXPIRATION OF ONE MONTH FROM THE DATE ON WHICH HE
MAILS NOTICE OF HIS ACTION TO THE CLAIMANT UNLESS
WITHIN SUCH PERIOD THE CLAIMANT SEEKS JUDICIAL
REVIEW OF THE COMMISSIONER'S DETERMINATION
PURSUANT TO SECTION 12-422.
Sec. 57. Section 12-452 of the general
statutes is amended by adding subsection (c) as
follows:
(NEW) (c) (1) Any person believing that he has
overpaid any tax due under the provisions of this
chapter may file, in writing, a claim for refund
with the commissioner within three years from the
due date for which such overpayment was made,
stating the specific grounds upon which the claim
is founded. Failure to file a claim within the
time prescribed in this subsection constitutes a
waiver of any demand against the state on account
of such overpayment. Not later than ninety days
following receipt of such claim for refund, the
commissioner shall determine whether such claim is
valid and, if so determined the commissioner shall
notify the State Comptroller of the amount of such
refund and the State Comptroller shall draw an
order on the State Treasurer in the amount thereof
for payment to the claimant. If the commissioner
determines that such claim is not valid, either in
whole or in part, he shall mail notice of the
proposed disallowance in whole or in part of the
claim to the claimant, which notice shall set
forth briefly the commissioner's findings of fact
and the basis of disallowance in each case decided
in whole or in part adversely to the claimant.
Sixty days after the date on which it is mailed, a
notice of proposed disallowance shall constitute a
final disallowance except only for such amounts as
to which the claimant has filed, as provided in
subdivision (2) of this subsection, a written
protest with the commissioner.
(2) On or before the sixtieth day after the
mailing of the proposed disallowance, the claimant
may file with the commissioner a written protest
against the proposed disallowance in which the
claimant sets forth the grounds on which the
protest is based. If the protest is filed, the
commissioner shall reconsider the proposed
disallowance and, if the claimant has so
requested, may grant or deny the claimant or the
claimant's authorized representatives an oral
hearing.
(3) The commissioner shall mail notice of his
determination to the claimant, which notice shall
set forth briefly the commissioner's findings of
fact and the basis of decision in each case
decided in whole or in part adversely to the
claimant.
(4) The action of the commissioner on the
claimant's protest shall be final upon the
expiration of one month from the date on which he
mails notice of his action to the claimant unless
within such period the claimant seeks judicial
review of the commissioner's determination
pursuant to section 12-448.
Sec. 58. Subsection (d) of section 12-459 of
the general statutes is repealed and the following
is substituted in lieu thereof:
(d) (1) The commissioner shall, within ninety
days after receipt of any claims under this
section, transmit all claims approved by him to
the Comptroller, who shall draw his order upon the
STATE Treasurer for payment. IF THE COMMISSIONER
DETERMINES THAT ANY SUCH CLAIM IS NOT VALID,
EITHER IN WHOLE OR IN PART, HE SHALL MAIL NOTICE
OF THE PROPOSED DISALLOWANCE TO THE CLAIMANT AND
SUCH NOTICE SHALL SET FORTH BRIEFLY THE
COMMISSIONER'S FINDINGS OF FACT AND THE BASIS OF
DISALLOWANCE IN EACH CASE DECIDED IN WHOLE OR IN
PART ADVERSELY TO THE CLAIMANT. SIXTY DAYS AFTER
THE DATE ON WHICH IT IS MAILED, A NOTICE OF
PROPOSED DISALLOWANCE SHALL CONSTITUTE A FINAL
DISALLOWANCE EXCEPT ONLY FOR SUCH AMOUNTS AS TO
WHICH THE CLAIMANT HAS FILED, AS PROVIDED IN
SUBDIVISION (2) OF THIS SUBSECTION, A WRITTEN
PROTEST WITH THE COMMISSIONER OF REVENUE SERVICES.
(2) ON OR BEFORE THE SIXTIETH DAY AFTER THE
MAILING OF THE PROPOSED DISALLOWANCE, THE CLAIMANT
MAY FILE WITH THE COMMISSIONER A WRITTEN PROTEST
AGAINST THE PROPOSED DISALLOWANCE IN WHICH THE
CLAIMANT SETS FORTH THE GROUNDS ON WHICH THE
PROTEST IS BASED. IF A PROTEST IS FILED, THE
COMMISSIONER SHALL RECONSIDER THE PROPOSED
DISALLOWANCE AND, IF THE CLAIMANT HAS SO
REQUESTED, MAY GRANT OR DENY THE CLAIMANT OR THE
CLAIMANT'S AUTHORIZED REPRESENTATIVES AN ORAL
HEARING.
(3) THE COMMISSIONER SHALL MAIL NOTICE OF HIS
DETERMINATION TO THE CLAIMANT, WHICH NOTICE SHALL
SET FORTH BRIEFLY THE COMMISSIONER'S FINDINGS OF
FACT AND THE BASIS OF DECISION IN EACH CASE
DECIDED IN WHOLE OR IN PART ADVERSELY TO THE
CLAIMANT.
(4) THE ACTION OF THE COMMISSIONER ON THE
CLAIMANT'S PROTEST SHALL BE FINAL UPON THE
EXPIRATION OF ONE MONTH FROM THE DATE ON WHICH HE
MAILS NOTICE OF HIS ACTION TO THE CLAIMANT UNLESS
WITHIN SUCH PERIOD THE CLAIMANT SEEKS JUDICIAL
REVIEW OF THE COMMISSIONER'S DETERMINATION
PURSUANT TO SECTION 12-463.
Sec. 59. Subsections (b) and (c) of section
12-480 of the general statutes are repealed and
the following is substituted in lieu thereof:
(b) (1) The Commissioner of Revenue Services
shall not allow such refund except after an audit
of the applicant's records and he shall audit the
records of an applicant at least once a year. [If
said commissioner refuses to allow a refund in the
amount claimed by the applicant, the applicant may
request a formal hearing on the application for a
refund. Such hearing shall be held by said
commissioner after notice to the applicant of not
less than ten days.] THE COMMISSIONER SHALL
TRANSMIT ALL CLAIMS APPROVED BY HIM TO THE
COMPTROLLER, WHO SHALL DRAW AN ORDER ON THE STATE
TREASURER FOR PAYMENT OF SUCH REFUND. IF THE
COMMISSIONER DETERMINES THAT ANY SUCH CLAIM IS NOT
VALID, EITHER IN WHOLE OR IN PART, HE SHALL MAIL
NOTICE OF THE PROPOSED DISALLOWANCE TO THE
CLAIMANT, WHICH NOTICE SHALL SET FORTH BRIEFLY THE
COMMISSIONER'S FINDINGS OF FACT AND THE BASIS OF
DISALLOWANCE IN EACH CASE DECIDED IN WHOLE OR IN
PART ADVERSELY TO THE CLAIMANT. SIXTY DAYS AFTER
THE DATE ON WHICH IT IS MAILED, A NOTICE OF
PROPOSED DISALLOWANCE SHALL CONSTITUTE A FINAL
DISALLOWANCE EXCEPT ONLY FOR SUCH AMOUNTS AS TO
WHICH THE CLAIMANT HAS FILED, AS PROVIDED IN
SUBDIVISION (2) OF THIS SUBSECTION, A WRITTEN
PROTEST WITH THE COMMISSIONER OF REVENUE SERVICES.
(2) ON OR BEFORE THE SIXTIETH DAY AFTER THE
MAILING OF THE PROPOSED DISALLOWANCE, THE CLAIMANT
MAY FILE WITH THE COMMISSIONER A WRITTEN PROTEST
AGAINST THE PROPOSED DISALLOWANCE IN WHICH THE
CLAIMANT SETS FORTH THE GROUNDS ON WHICH THE
PROTEST IS BASED. IF A PROTEST IS FILED, THE
COMMISSIONER SHALL RECONSIDER THE PROPOSED
DISALLOWANCE AND, IF THE CLAIMANT HAS SO
REQUESTED, MAY GRANT OR DENY THE CLAIMANT OR THE
CLAIMANT'S AUTHORIZED REPRESENTATIVES AN ORAL
HEARING.
(3) THE COMMISSIONER SHALL MAIL NOTICE OF HIS
DETERMINATION TO THE CLAIMANT, WHICH NOTICE SHALL
SET FORTH BRIEFLY THE COMMISSIONER'S FINDINGS OF
FACT AND THE BASIS OF DECISION IN EACH CASE
DECIDED IN WHOLE OR IN PART ADVERSELY TO THE
CLAIMANT.
(4) THE ACTION OF THE COMMISSIONER ON THE
CLAIMANT'S PROTEST SHALL BE FINAL UPON THE
EXPIRATION OF ONE MONTH FROM THE DATE ON WHICH HE
MAILS NOTICE OF HIS ACTION TO THE CLAIMANT UNLESS
WITHIN SUCH PERIOD THE CLAIMANT SEEKS JUDICIAL
REVIEW OF THE COMMISSIONER'S DETERMINATION
PURSUANT TO SUBSECTION (b) OF SECTION 12-489.
(c) (1) Any motor carrier who has registered
any vehicle and paid a fee pursuant to section
12-487, and who claims that such registration or
payment is illegal for any reason, may claim a
refund or credit, in writing, within six months
after such registration or payment. [The
commissioner shall notify such motor carrier of
his action on the claim for a refund or credit
within sixty days of the filing of such claim.]
If, upon examination of such claim, the
commissioner determines that such registration or
payment was illegal, the STATE Treasurer, upon
order of the Comptroller, shall refund or credit
the amount of any such fee to such motor carrier.
IF THE COMMISSIONER DETERMINES THAT REGISTRATION
OR PAYMENT WAS LEGAL, HE SHALL MAIL NOTICE OF THE
PROPOSED DISALLOWANCE TO THE MOTOR CARRIER, WHICH
NOTICE SHALL SET FORTH BRIEFLY THE COMMISSIONER'S
FINDINGS OF FACT AND THE BASIS OF DISALLOWANCE IN
EACH CASE DECIDED IN WHOLE OR IN PART ADVERSELY TO
THE CLAIMANT. SIXTY DAYS AFTER THE DATE ON WHICH
IT IS MAILED, A NOTICE OF PROPOSED DISALLOWANCE
SHALL CONSTITUTE A FINAL DISALLOWANCE EXCEPT ONLY
FOR SUCH AMOUNTS AS TO WHICH THE CLAIMANT HAS
FILED, AS PROVIDED IN SUBDIVISION (2) OF THIS
SUBSECTION, A WRITTEN PROTEST WITH THE
COMMISSIONER.
(2) ON OR BEFORE THE SIXTIETH DAY AFTER THE
MAILING OF THE PROPOSED DISALLOWANCE, THE CLAIMANT
MAY FILE WITH THE COMMISSIONER A WRITTEN PROTEST
AGAINST THE PROPOSED DISALLOWANCE IN WHICH THE
CLAIMANT SETS FORTH THE GROUNDS ON WHICH THE
PROTEST IS BASED. IF A PROTEST IS FILED, THE
COMMISSIONER SHALL RECONSIDER THE PROPOSED
DISALLOWANCE AND, IF THE CLAIMANT HAS SO
REQUESTED, MAY GRANT OR DENY THE CLAIMANT OR THE
CLAIMANT'S AUTHORIZED REPRESENTATIVES AN ORAL
HEARING.
(3) THE COMMISSIONER SHALL MAIL NOTICE OF HIS
DETERMINATION TO THE CLAIMANT, WHICH NOTICE SHALL
SET FORTH BRIEFLY THE COMMISSIONER'S FINDINGS OF
FACT AND THE BASIS OF DECISION IN EACH CASE
DECIDED IN WHOLE OR IN PART ADVERSELY TO THE
CLAIMANT.
(4) THE ACTION OF THE COMMISSIONER ON THE
CLAIMANT'S PROTEST SHALL BE FINAL UPON THE
EXPIRATION OF ONE MONTH FROM THE DATE ON WHICH HE
MAILS NOTICE OF HIS ACTION TO THE CLAIMANT UNLESS
WITHIN SUCH PERIOD THE CLAIMANT SEEKS JUDICIAL
REVIEW OF THE COMMISSIONER'S DETERMINATION
PURSUANT TO SUBSECTION (b) OF SECTION 12-489.
Sec. 60. Section 12-550 of the general
statutes is repealed and the following is
substituted in lieu thereof:
(a) Any person believing that he has overpaid
any taxes due under this chapter may file a claim
for refund in writing with the commissioner within
three years from the due date for which such
overpayment was made stating the specific grounds
upon which the claim is founded. Failure to file a
claim within the time prescribed in this section
constitutes a waiver of any demand against the
state on account of overpayment. The commissioner
shall review such claim within a reasonable time
and, if he determines a refund is due, he shall
credit the overpayment against any amount then due
and payable from the person under this chapter or
any other act administered by the commissioner and
the balance shall be refunded, upon order of the
Comptroller, to the person. [Within thirty days
after disallowing any claim in whole or in part
the commissioner shall serve notice of his action
on the claimant.] IF THE COMMISSIONER DETERMINES
THAT SUCH CLAIM IS NOT VALID, EITHER IN WHOLE OR
IN PART, HE SHALL MAIL NOTICE OF THE PROPOSED
DISALLOWANCE TO THE CLAIMANT, WHICH NOTICE SHALL
SET FORTH BRIEFLY THE COMMISSIONER'S FINDINGS OF
FACT AND THE BASIS OF DISALLOWANCE IN EACH CASE
DECIDED IN WHOLE OR IN PART ADVERSELY TO THE
CLAIMANT. SIXTY DAYS AFTER THE DATE ON WHICH IT IS
MAILED, A NOTICE OF PROPOSED DISALLOWANCE SHALL
CONSTITUTE A FINAL DISALLOWANCE EXCEPT ONLY FOR
SUCH AMOUNTS AS TO WHICH THE CLAIMANT HAS FILED,
AS PROVIDED IN SUBSECTION (b) OF THIS SECTION, A
WRITTEN PROTEST WITH THE COMMISSIONER.
(b) ON OR BEFORE THE SIXTIETH DAY AFTER THE
MAILING OF THE PROPOSED DISALLOWANCE, THE CLAIMANT
MAY FILE WITH THE COMMISSIONER A WRITTEN PROTEST
AGAINST THE PROPOSED DISALLOWANCE IN WHICH THE
CLAIMANT SETS FORTH THE GROUNDS ON WHICH THE
PROTEST IS BASED. IF A PROTEST IS FILED, THE
COMMISSIONER SHALL RECONSIDER THE PROPOSED
DISALLOWANCE AND, IF THE CLAIMANT HAS SO
REQUESTED, MAY GRANT OR DENY THE CLAIMANT OR THE
CLAIMANT'S AUTHORIZED REPRESENTATIVES AN ORAL
HEARING.
(c) THE COMMISSIONER SHALL MAIL NOTICE OF HIS
DETERMINATION TO THE CLAIMANT, WHICH NOTICE SHALL
SET FORTH BRIEFLY THE COMMISSIONER'S FINDINGS OF
FACT AND THE BASIS OF DECISION IN EACH CASE
DECIDED IN WHOLE OR IN PART ADVERSELY TO THE
CLAIMANT.
(d) THE ACTION OF THE COMMISSIONER ON THE
CLAIMANT'S PROTEST SHALL BE FINAL UPON THE
EXPIRATION OF ONE MONTH FROM THE DATE ON WHICH HE
MAILS NOTICE OF HIS ACTION TO THE CLAIMANT UNLESS
WITHIN SUCH PERIOD THE CLAIMANT SEEKS JUDICIAL
REVIEW OF THE COMMISSIONER'S DETERMINATION
PURSUANT TO SECTION 12-554.
Sec. 61. Subsection (a) of section 12-589 of
the general statutes is repealed and the following
is substituted in lieu thereof:
(a) (1) Any company believing that it has
overpaid any taxes imposed under section 12-587
may file a claim for refund in writing with the
commissioner within three years from the due date
for which such overpayment was made, stating the
specific grounds upon which the claim is founded.
FAILURE TO FILE A CLAIM WITHIN THE TIME PRESCRIBED
IN THIS SECTION CONSTITUTES A WAIVER OF ANY DEMAND
AGAINST THE STATE ON ACCOUNT OF OVERPAYMENT. Not
later than ninety days following receipt of such
claim for refund the commissioner shall determine
whether such claim is valid and if so, said
commissioner shall notify the STATE Comptroller of
the amount of such refund and the STATE
Comptroller shall draw an order on the STATE
Treasurer in the amount thereof for payment to
such company. [Within thirty days after
disallowing any claim in whole or in part, the
commissioner shall serve notice of his action on
the claimant. Failure to file a claim within the
time prescribed in this section constitutes a
waiver of any demand against the state on account
of overpayment.] IF THE COMMISSIONER DETERMINES
THAT SUCH CLAIM IS NOT VALID, EITHER IN WHOLE OR
IN PART, HE SHALL MAIL NOTICE OF THE PROPOSED
DISALLOWANCE TO THE CLAIMANT, WHICH NOTICE SHALL
SET FORTH BRIEFLY THE COMMISSIONER'S FINDINGS OF
FACT AND THE BASIS OF DISALLOWANCE IN EACH CASE
DECIDED IN WHOLE OR IN PART ADVERSELY TO THE
CLAIMANT. SIXTY DAYS AFTER THE DATE ON WHICH IT IS
MAILED, A NOTICE OF PROPOSED DISALLOWANCE SHALL
CONSTITUTE A FINAL DISALLOWANCE EXCEPT ONLY FOR
SUCH AMOUNTS AS TO WHICH THE CLAIMANT HAS FILED,
AS PROVIDED IN SUBDIVISION (2) OF THIS SUBSECTION,
A WRITTEN PROTEST WITH THE COMMISSIONER.
(2) ON OR BEFORE THE SIXTIETH DAY AFTER THE
MAILING OF THE PROPOSED DISALLOWANCE, THE CLAIMANT
MAY FILE WITH THE COMMISSIONER A WRITTEN PROTEST
AGAINST THE PROPOSED DISALLOWANCE IN WHICH THE
CLAIMANT SETS FORTH THE GROUNDS ON WHICH THE
PROTEST IS BASED. IF A PROTEST IS FILED, THE
COMMISSIONER SHALL RECONSIDER THE PROPOSED
DISALLOWANCE AND, IF THE CLAIMANT HAS SO
REQUESTED, MAY GRANT OR DENY THE CLAIMANT OR THE
CLAIMANT'S AUTHORIZED REPRESENTATIVES AN ORAL
HEARING.
(3) THE COMMISSIONER SHALL MAIL NOTICE OF HIS
DETERMINATION TO THE CLAIMANT, WHICH NOTICE SHALL
SET FORTH BRIEFLY THE COMMISSIONER'S FINDINGS OF
FACT AND THE BASIS OF DECISION IN EACH CASE
DECIDED IN WHOLE OR IN PART ADVERSELY TO THE
CLAIMANT.
(4) THE ACTION OF THE COMMISSIONER ON THE
CLAIMANT'S PROTEST SHALL BE FINAL UPON THE
EXPIRATION OF ONE MONTH FROM THE DATE ON WHICH HE
MAILS NOTICE OF HIS ACTION TO THE CLAIMANT UNLESS
WITHIN SUCH PERIOD THE CLAIMANT SEEKS JUDICIAL
REVIEW OF THE COMMISSIONER'S DETERMINATION
PURSUANT TO SECTION 12-597.
Sec. 62. Section 12-638f of the general
statutes is repealed and the following is
substituted in lieu thereof:
(a) Any person believing that he has overpaid
any taxes due under this chapter may file a claim
for refund in writing with the commissioner within
three years from the due date for which such
overpayment was made stating the specific grounds
upon which the claim is founded. Failure to file a
claim within the time prescribed in this section
constitutes a waiver of any demand against the
state on account of overpayment. The commissioner
shall review such claim within a reasonable time
and, if he determines a refund is due, he shall
credit the overpayment against any amount then due
and payable from the person under this chapter, or
any other act administered by the commissioner and
the balance shall be refunded, upon order of the
Comptroller, to the person. [Within thirty days
after disallowing any claim in whole or in part
the commissioner shall serve notice of his action
on the claimant.] IF THE COMMISSIONER DETERMINES
THAT SUCH CLAIM IS NOT VALID, EITHER IN WHOLE OR
IN PART, HE SHALL MAIL NOTICE OF THE PROPOSED
DISALLOWANCE TO THE CLAIMANT, WHICH NOTICE SHALL
SET FORTH BRIEFLY THE COMMISSIONER'S FINDINGS OF
FACT AND THE BASIS OF DISALLOWANCE IN EACH CASE
DECIDED IN WHOLE OR IN PART ADVERSELY TO THE
CLAIMANT. SIXTY DAYS AFTER THE DATE ON WHICH IT IS
MAILED, A NOTICE OF PROPOSED DISALLOWANCE SHALL
CONSTITUTE A FINAL DISALLOWANCE EXCEPT ONLY FOR
SUCH AMOUNTS AS TO WHICH THE CLAIMANT HAS FILED,
AS PROVIDED IN SUBSECTION (b) OF THIS SECTION, A
WRITTEN PROTEST WITH THE COMMISSIONER.
(b) ON OR BEFORE THE SIXTIETH DAY AFTER THE
MAILING OF THE PROPOSED DISALLOWANCE, THE CLAIMANT
MAY FILE WITH THE COMMISSIONER A WRITTEN PROTEST
AGAINST THE PROPOSED DISALLOWANCE IN WHICH HE SETS
FORTH THE GROUNDS ON WHICH THE PROTEST IS BASED.
IF A PROTEST IS FILED, THE COMMISSIONER SHALL
RECONSIDER THE PROPOSED DISALLOWANCE AND, IF THE
CLAIMANT HAS SO REQUESTED, MAY GRANT OR DENY THE
CLAIMANT OR THE CLAIMANT'S AUTHORIZED
REPRESENTATIVES AN ORAL HEARING.
(c) THE COMMISSIONER SHALL MAIL NOTICE OF HIS
DETERMINATION TO THE CLAIMANT, WHICH NOTICE SHALL
SET FORTH BRIEFLY THE COMMISSIONER'S FINDINGS OF
FACT AND THE BASIS OF DECISION IN EACH CASE
DECIDED IN WHOLE OR IN PART ADVERSELY TO THE
CLAIMANT.
(d) THE ACTION OF THE COMMISSIONER ON THE
CLAIMANT'S PROTEST SHALL BE FINAL UPON THE
EXPIRATION OF ONE MONTH FROM THE DATE ON WHICH HE
MAILS NOTICE OF HIS ACTION TO THE CLAIMANT UNLESS
WITHIN SUCH PERIOD THE CLAIMANT SEEKS JUDICIAL
REVIEW OF THE COMMISSIONER'S DETERMINATION
PURSUANT TO SUBSECTION (b) OF SECTION 12-638i.
Sec. 63. Subsection (a) of section 12-732 of
the general statutes is repealed and the following
is substituted in lieu thereof:
(a) (1) If any tax has been overpaid, the
taxpayer may file a claim for refund in writing
with the commissioner within three years from the
due date for which such overpayment was made,
stating the specific grounds upon which the claim
is founded. Not later than ninety days following
receipt of such claim for refund the commissioner
shall determine whether such claim is valid and,
if so, said commissioner shall notify the STATE
Comptroller of the amount of such refund and the
STATE Comptroller shall draw an order on the STATE
Treasurer in the amount thereof for payment to the
taxpayer. For purposes of this section, an income
tax return that is filed before the last day
prescribed by law or by a regulation adopted
pursuant to law for the filing thereof shall be
deemed to be filed on such last day. To the amount
of such refund, [other than any refund of tax paid
with a tentative return,] there shall be added
interest at the rate of two-thirds of one per cent
for each month or fraction thereof which elapses
between (A) the ninetieth day following receipt BY
THE COMMISSIONER of such claim for refund [by the
commissioner] ON A PERMITTED FORM, CONTAINING THE
TAXPAYER'S NAME, ADDRESS AND SOCIAL SECURITY
NUMBER OR FEDERAL EMPLOYER IDENTIFICATION NUMBER,
THE REQUIRED SIGNATURE, AND SUFFICIENT REQUIRED
INFORMATION, WHETHER ON THE RETURN OR ON REQUIRED
ATTACHMENTS, TO PERMIT THE MATHEMATICAL
VERIFICATION OF TAX LIABILITY SHOWN ON THE RETURN,
and (B) the date of notice by the commissioner
that such refund is due. Failure to file a claim
within the time prescribed in this section
constitutes a waiver of any demand against the
state on account of overpayment. [Notice] IF THE
COMMISSIONER DETERMINES THAT SUCH CLAIM IS NOT
VALID, EITHER IN WHOLE OR IN PART, HE SHALL MAIL
NOTICE of the disallowance in whole or in part of
the claim [shall be mailed] to the claimant and
such notice shall set forth briefly the
commissioner's findings of fact and the basis of
disallowance in each case decided in whole or in
part adversely to the claimant. [The action of the
commissioner in disallowing the claim is final
upon the expiration of one month from the date
when he mails notice of his disallowance to the
taxpayer. A taxpayer may seek judicial review of
the disallowance under section 12-730.] SIXTY DAYS
AFTER THE DATE ON WHICH IT IS MAILED, A NOTICE OF
PROPOSED DISALLOWANCE SHALL CONSTITUTE A FINAL
DISALLOWANCE EXCEPT ONLY FOR SUCH AMOUNTS AS TO
WHICH THE CLAIMANT HAS FILED, AS PROVIDED IN
SUBDIVISION (2) OF THIS SUBSECTION, A WRITTEN
PROTEST WITH THE COMMISSIONER.
(2) ON OR BEFORE THE SIXTIETH DAY AFTER THE
MAILING OF THE PROPOSED DISALLOWANCE, THE CLAIMANT
MAY FILE WITH THE COMMISSIONER A WRITTEN PROTEST
AGAINST THE PROPOSED DISALLOWANCE IN WHICH THE
CLAIMANT SETS FORTH THE GROUNDS ON WHICH THE
PROTEST IS BASED. IF A PROTEST IS FILED, THE
COMMISSIONER SHALL RECONSIDER THE PROPOSED
DISALLOWANCE AND, IF THE CLAIMANT HAS SO
REQUESTED, MAY GRANT OR DENY THE CLAIMANT OR THE
CLAIMANT'S AUTHORIZED REPRESENTATIVES AN ORAL
HEARING.
(3) THE COMMISSIONER SHALL MAIL NOTICE OF HIS
DETERMINATION TO THE CLAIMANT, WHICH NOTICE SHALL
SET FORTH BRIEFLY THE COMMISSIONER'S FINDINGS OF
FACT AND THE BASIS OF DECISION IN EACH CASE
DECIDED IN WHOLE OR IN PART ADVERSELY TO THE
CLAIMANT.
(4) THE ACTION OF THE COMMISSIONER ON THE
CLAIMANT'S PROTEST SHALL BE FINAL UPON THE
EXPIRATION OF ONE MONTH FROM THE DATE ON WHICH HE
MAILS NOTICE OF HIS ACTION TO THE CLAIMANT UNLESS
WITHIN SUCH PERIOD THE CLAIMANT SEEKS JUDICIAL
REVIEW OF THE COMMISSIONER'S DETERMINATION
PURSUANT TO SECTION 12-730.
Sec. 64. Section 2-32c of the general statutes
is repealed and the following is substituted in
lieu thereof:
Not more than ninety days after adjournment of
any regular or special session of the General
Assembly or September first immediately following
adjournment of a regular session, whichever is
sooner, the Connecticut Advisory Commission on
Intergovernmental Relations, established pursuant
to section 2-79a, shall submit to the speaker of
the House of Representatives, the president pro
tempore of the Senate, the majority leader of the
House of Representatives, the majority leader of
the Senate, the minority leader of the House of
Representatives and the minority leader of the
Senate a report which lists each state mandate
enacted during said regular or special session of
the General Assembly. Within five days of receipt
of the report, the speaker and the president pro
tempore shall submit the report to the Secretary
of the Office of Policy and Management and refer
each state mandate to the joint standing committee
or select committee of the General Assembly having
cognizance of the subject matter of the mandate.
The secretary shall provide notice of the report
to the chief elected official of each
municipality. [Each committee shall conduct a
public hearing on state mandates referred pursuant
to this section and within thirty days of
submittal of the report and referral of the state
mandates, the committee shall advise the speaker
and president pro tempore of its approval,
modification or rejection of the state mandate. If
a committee recommends rejection or modification
of a mandate, the committee shall introduce
legislation during the next regular session of the
General Assembly to repeal or modify such state
mandate.]
Sec. 65. Section 45a-579 of the general
statutes is amended by adding subsection (f) as
follows:
(NEW) (f) In a case in which the estate of a
decedent receives a settlement in a wrongful death
action and a beneficiary of the estate dies
intestate within seven months of the prior
decedent, and such beneficiary's estate receives
some part of such settlement, subsection (d) shall
be waived, and the interest of the beneficiary may
be disclaimed without being subject to a
nine-month disclaimer period, provided such
disclaimer is made on or before December 1, 1997.
Sec. 66. Section 12-492 of the general
statutes is repealed.
Sec. 67. This act shall take effect from its
passage, except that (1) section 8 shall be
applicable to taxes due and owing on or after July
1, 1995, (2) sections 7, 41, 46 and 47 shall be
applicable to calendar years commencing on or
after January 1, 1997, section 10 shall be
applicable to income years commencing on or after
January 1, 1997, section 30 shall be applicable to
sales occurring on or after January 1, 1997,
sections 43 and 44 shall be applicable to taxable
years commencing on or after January 1, 1997; (3)
sections 24, 32 and 33 shall be applicable to
sales occurring on or after July 1, 1997, sections
27, 35 and 38 shall be applicable to taxable
periods commencing on or after July 1, 1997; (4)
sections 12 to 23, inclusive, 25 and 31 shall be
applicable to sales occurring on or after October
1, 1997; (5) sections 34 and 36 shall be
applicable to sales occurring on or after January
1, 1998; (6) sections 2 to 6, inclusive, 11, 28,
29, 39, 40 and 45 shall take effect July 1, 1997,
and (7) sections 51 to 63, inclusive, shall take
effect July 1, 1997, and be applicable to claims
for refund filed on or after said date.
Approved June 24, 1997