Connecticut Seal

General Assembly

 

Committee Bill No. 6266

January Session, 2017

 

LCO No. 4027

 

*04027HB06266PS_*

Referred to Committee on PUBLIC SAFETY AND SECURITY

 

Introduced by:

 

(PS)

 

AN ACT CONCERNING BOXING EVENTS AND MIXED MARTIAL ARTS MATCHES.

Be it enacted by the Senate and House of Representatives in General Assembly convened:

Section 1. Section 12-541 of the general statutes is repealed and the following is substituted in lieu thereof (Effective October 1, 2017):

(a) There is hereby imposed a tax of ten per cent of the admission charge to any place of amusement, entertainment or recreation, except that no tax shall be imposed with respect to any admission charge (1) when the admission charge is less than one dollar or, in the case of any motion picture show, when the admission charge is not more than five dollars, (2) when a daily admission charge is imposed which entitles the patron to participate in an athletic or sporting activity, (3) to any event, other than events held at the stadium facility, as defined in section 32-651, if all of the proceeds from the event inure exclusively to an entity which is exempt from federal income tax under the Internal Revenue Code, provided such entity actively engages in and assumes the financial risk associated with the presentation of such event, (4) to any event, other than events held at the stadium facility, as defined in section 32-651, which, in the opinion of the commissioner, is conducted primarily to raise funds for an entity which is exempt from federal income tax under the Internal Revenue Code, provided the commissioner is satisfied that the net profit which inures to such entity from such event will exceed the amount of the admissions tax which, but for this subdivision, would be imposed upon the person making such charge to such event, (5) other than for events held at the stadium facility, as defined in section 32-651, paid by centers of service for elderly persons, as described in subdivision (d) of section 17a-310, (6) to any production featuring live performances by actors or musicians presented at Gateway's Candlewood Playhouse, Ocean Beach Park or any nonprofit theater or playhouse in the state, provided such theater or playhouse possesses evidence confirming exemption from federal tax under Section 501 of the Internal Revenue Code, (7) to any carnival or amusement ride, (8) to any interscholastic athletic event held at the stadium facility, as defined in section 32-651, (9) if the admission charge would have been subject to tax under the provisions of section 12-542 of the general statutes, revision of 1958, revised to January 1, 1999, (10) to any event at (A) the XL Center in Hartford, or (B) the Webster Bank Arena in Bridgeport, (11) from July 1, 2015, to June 30, 2017, to any athletic event presented by a member team of the Atlantic League of Professional Baseball at the Ballpark at Harbor Yard in Bridgeport, (12) to any event presented at the Dunkin' Donuts Park in Hartford, [or] (13) on and after July 1, 2017, to any athletic event presented by a member team of the Atlantic League of Professional Baseball at the New Britain Stadium, or (14) to any professional boxing or mixed martial arts match. On and after July 1, 2000, the tax imposed under this section on any motion picture show shall be eight per cent of the admission charge and, on and after July 1, 2001, the tax imposed on any such motion picture show shall be six per cent of such charge.

(b) The tax shall be imposed upon the person making such charge and reimbursement for the tax shall be collected by such person from the purchase. Such reimbursement, termed "tax", shall be paid by the purchaser to the person making the admission charge. Such tax, when added to the admission charge, shall be a debt from the purchaser to the person making the admission charge and shall be recoverable at law. The amount of tax reimbursement, when so collected, shall be deemed to be a special fund in trust for the state of Connecticut.

Sec. 2. Section 29-143aa of the general statutes is repealed and the following is substituted in lieu thereof (Effective October 1, 2017):

(a) Any person, firm or corporation that employs, or contracts with, a person to be a boxer in a boxing match or competitor in a mixed martial arts match conducted pursuant to this chapter shall [be liable for any health care costs incurred by such competitor for the diagnosis, care and treatment of any injury, illness, disease or condition resulting from or caused by such competitor's participation in such match for the duration of such injury, illness, disease or condition] provide health insurance coverage and a death benefit on behalf of such boxer or competitor with respect to each match produced by such person, firm or corporation.

(b) Such health insurance coverage shall provide at least twenty thousand dollars of benefits for medical, dental, surgical and hospital expenses resulting from or caused by such boxer's or competitor's participation in such match. Such death benefit shall provide at least fifty thousand dollars to the estate of the boxer or competitor for the death of the boxer or competitor resulting from or caused by such boxer's or competitor's participation in such match.

Sec. 3. Section 29-143l of the general statutes is repealed and the following is substituted in lieu thereof (Effective October 1, 2017):

(a) The commissioner may, in the commissioner's discretion, grant or deny an application for a license to conduct, hold or give any boxing or mixed martial arts match to any person, persons, club, corporation or association. [Before any such license is issued, the applicant shall execute and file with the commissioner a bond in such amount and form and with such surety as is determined by the commissioner, which bond shall be conditioned for the payment of the tax imposed by section 29-143m. Upon the filing and approval of such bond, the commissioner shall issue to such applicant a certificate of such filing and approval. No license shall be issued under this section until such bond is filed.]

(b) The commissioner may, in the commissioner's discretion, revoke any license to conduct, hold or give any boxing or mixed martial arts match issued under this section for cause as provided in this chapter or in any regulation adopted under this chapter in accordance with chapter 54.

Sec. 4. Sections 29-143m and 29-143n of the general statutes are repealed. (Effective October 1, 2017)

This act shall take effect as follows and shall amend the following sections:

Section 1

October 1, 2017

12-541

Sec. 2

October 1, 2017

29-143aa

Sec. 3

October 1, 2017

29-143l

Sec. 4

October 1, 2017

Repealer section

Statement of Purpose:

To (1) exempt professional boxing and mixed martial arts matches from the admissions tax, (2) require the holders or promoters of boxing and mixed martial arts matches to provide health insurance and death benefits to the competitors, and (3) eliminate the payment of gross receipts tax by such holders and promoters.

[Proposed deletions are enclosed in brackets. Proposed additions are indicated by underline, except that when the entire text of a bill or resolution or a section of a bill or resolution is new, it is not underlined.]

Co-Sponsors:

REP. ROSARIO, 128th Dist.; REP. ARCE, 4th Dist.

REP. VAIL, 52nd Dist.; REP. SANTIAGO, 130th Dist.

REP. REYES, 75th Dist.; REP. GRESKO, 121st Dist.

H.B. 6266