Connecticut State Tax Help

What are some examples of Other Additions?

  1. If you're a member of the Mashantucket Pequot Tribe or the Mohegan Tribe and you reside in your tribe's Indian country, you need to add back any loss or deduction connected with the Indian country. Enter the words "Mashantucket Pequot Tribe enrolled member" or "Mohegan Tribe enrolled member," as the case may be.
  2. Add back any Connecticut income tax deducted on the federal income tax return to arrive at federal adjusted gross income. Do not add back any Connecticut income tax deducted on federal Form 1040, Schedule A.
  3. Add back any expenses paid or incurred for the production (including management, conservation, and maintenance of property held for the production) or collection of income exempt from Connecticut income tax which were deducted on the federal return to arrive at federal adjusted gross income.
  4. Add back any amortizable bond premium on bonds producing interest income exempt from Connecticut income tax which premiums were deducted on the federal return to arrive at federal adjusted gross income.
  5. Add back any interest or dividend income on obligations or securities of any authority, commission, or instrumentality of the United States which federal law exempts from federal income tax but does not exempt from Connecticut income taxes.
  6. Add back any interest expenses on debt incurred or continued to purchase or carry obligations or securities (the income from which is exempt from Connecticut income tax) that you deducted on your federal return.
  7. Add back the following distributions from your manufacturing reinvestment account (MRA):
    1. 50% of any distribution used to purchase machinery or equipment for use in Connecticut or manufacturing facilities, or for workforce training, development or expansion in Connecticut;
    2. 100% of any distribution NOT used to purchase machinery or equipment for use in Connecticut or manufacturing facilities, or for workforce training, development or expansion in Connecticut;
    3. 100% of any return of money remaining in the MRA at the end of the five-year period after the account's creation, including any interest earned.
  8. Add back any other additions to federal adjusted gross income required for Connecticut income tax purposes which are not listed.

What is the Military Family Relief Fund?

This fund makes grants to the immediate family members of service members domiciled in Connecticut for essential goods and services when military services creates family financial hardship. This fund is administered by the Connecticut Military Department.

Enter the amount you'd like to contribute here.

OR

To contribute directly, send donation to:
Military Department, Military Family Relief Fund Fiscal Office
360 Broad St
Hartford CT 06105-3795

Make check payable to: Treasurer, State of Connecticut/Military Family Relief Fund

What are Other Subtractions?

Some examples of other subtractions include the following:
  • If you're a member of the Mashantucket Puquot Tribe or the Mohegan Tribe and you reside in the Indian country of your tribe, you may subtract any income or gain you earned in your tribe's Indian country.
  • You may subtract the amount of interest earned on funds you deposited in a Connecticut individual development account that you included in your federal adjusted gross income.
  • You may subtract any interest you paid on debt you incurred to buy investments that provide income taxable in Connecticut but that is exempt for federal purposes and that is not deductible in determining federal adjusted gross income.
  • You may subtract expenses paid or incurred for the production (including management, conservation, and maintenance of property held for production) or collection of taxable income in Connecticut but exempt from federal income tax and that are not deductible in determining federal adjusted gross income.
  • You may subtract any distributions you received from a CHET fund as a designated beneficiary if you included the distributions in your federal adjusted gross income. It is rare that your CHET distribution would be included in your federal adjusted gross income, so most people do not need to subtract the distributions here.
  • You may subtract any amortizable bond premium on bonds on which you earned interest income that is taxable in Connecticut but is exempt from federal income tax, as long as those premiums were not deductible in determining federal adjusted gross income and are attributable to a trade or business of that individual.
  • You may subtract the amount of any interest income from notes, bonds, or other obligations of the State of Connecticut that are included in your federal adjusted gross income.
  • You may subtract the amount of any interest, dividends, or capital gains earned on contributions that you made to accounts established for a designated beneficiary under the Connecticut Homecare Option Program for the Elderly, as long as the interest is included in the gross income of the designated beneficiary for federal income tax purposes.
  • You may subtract any contributions made to a manufacturing reinvestment account (MRA).

Which property tax bills qualify for the Property Tax Credit?

You may take a credit against your 2013 Connecticut income tax liability for qualifying property tax payments you made on your primary residence and/or privately owned or leased motor vehicle to a Connecticut political subdivision.

Generally, property tax bills that were due and paid during 2013 qualify for this credit. This includes any installment payments you made during 2013 that were due in 2013 and any installments you prepaid during 2013 due in 2014. Supplemental property tax bills that were due during 2013 or 2014 also qualify if paid during 2013. However, the late payment of any property tax bills or the payment of any interest, fees, or charges related to the property tax bill do not qualify for the credit.

You may take a credit for a leased motor vehicle if you had a written lease agreement for a term of more than one year and the property tax became due and was paid during 2013 (either by the leasing company or by you). Refer to your January 2014 billing statement from the leasing company in order to determine the amount of property taxes that may be eligible for the credit. If you do not receive a billing statement in January 2014, contact your leasing company for the appropriate property tax information.

Example 1: Lisa received a property tax bill for a motor vehicle listed on her town's October 1, 2011, grand list. The bill was payable in two installments, July 1, 2012, and January 1, 2013. If Lisa paid the January 1, 2013, installment on January 1, 2013, she is eligible to claim it on her 2013 income tax return. If she prepaid it during 2012, she is not eligible to take a credit for it on her 2013 return, but she may have been eligible to take a credit for it on her 2012 return.

Example 2: Mary received a property tax bill for a motor vehicle listed on her town's October 1, 2011, grand list. The bill was payable in two installments, July 1, 2013, and January 1, 2014. Mary is eligible to take a credit for both installments on her 2013 income tax return if she paid both installments during 2013. If Mary waited until January 1, 2014, to pay her second installment, she is not eligible to take a credit on her 2013 return for this installment, but she may be eligible to take a credit for it on her 2014 return.

What is use tax?

You must pay use tax on taxable tangible personal property, whether purchased or leased, and taxable services on which you didn't pay sales tax. Examples of taxable tangible personal property include items of clothing costing $50 or more, automobiles, appliances, furniture, jewelry, cameras, computers, and computer software. Some taxable services include repair services to your television, motor vehicle, or computer, landscaping services for your home, reupholstering services for your household furniture, or certain charges for access to online computer services.

In general, goods or services purchased out-of-state that would be subject to the Connecticut sales tax if those goods or services were purchased from a Connecticut seller are subject to the Connecticut use tax if the out-of-state seller did not charge and collect sales tax on the sale. Generally, this includes purchases of goods by mail order, telephone or online over the Internet when the goods are shipped or delivered to Connecticut and when the purchaser brings goods back into Connecticut.

What is the use tax rate?

The general use tax rate for purchases is 6.35%. However, the following items are subject to a 7% use tax rate:
  • most motor vehicles exceeding $50,000;
  • a vessel exceeding $100,000;
  • each piece of jewelry exceeding $5,000;
  • each piece of clothing or pair of footwear exceeding $1,000;
  • a handbag, luggage, umbrella, wallet, or watch exceeding $1,000.
Computer and data processing services are subject to a 1% use tax rate.

What if I buy taxable goods or services in another state, and the vendor charges sales tax for the other state?

If the goods or services were purchased for use in Connecticut and the sales tax you paid to the other state is less than the Connecticut tax, you must report and pay the use tax. Your use tax is the difference between the Connecticut tax and the tax paid to the other state. If the tax paid to the other state is equal to or more than the Connecticut tax, you owe no use tax to Connecticut. There is no refund for tax paid to another state when that state's tax rate is greater than Connecticut's use tax rate.

What are estimated tax payments?

Enter any estimated tax payments you made for 2013 and any amount from your 2012 return that you applied to your 2013 taxes.

Do NOT enter any amount of your 2013 Connecticut Income Tax withheld by your employer(s) as shown on any wage or tax statements.

What is the Aids Research Fund?

This fund assists research, education, and community service programs related to Acquired Immune Deficiency Syndrome (AIDS). The fund is administered by the Connecticut Department of Public Health.

Enter the amount you'd like to contribute here.

OR

To contribute directly, send donation to:
Department of Public Health - HIV Prevention Program
MS #11APV
PO Box 340308
Hartford CT 06134-0308

Make check payable to: Treasurer, State of Connecticut/AIDS Fund

What is the Organ Transplant Fund?

This fund assists Connecticut residents in paying for the unmet medical and ancillary needs of organ transplant candidates and recipients. The fund is administered by the Connecticut Department of Social Services.

Enter the amount you'd like to contribute here.

OR

To contribute directly, send donation to:
Department of Social Services Accounts Receivable
25 Sigourney Street St Ste 1
Hartford CT 06106-5033

Make check payable to: Commissioner of Social Services/Organ Transplant Fund

What is the Endangered Species/Wildlife Fund?

This fund helps preserve, protect, and manage Connecticut's endangered plants and animals, wildlife, and their habitats. The fund is administered by the Connecticut Department of Environmental Protection.

Enter the amount you'd like to contribute here.

OR

To contribute directly, send donation to:
Department of Energy & Environmental Protection - Bureau of Administration Financial Management
79 Elm Street
Hartford CT 06106-1591

Make check payable to: DEEP-Endangered Species/Wildlife Fund

What is the Breast Cancer Research Fund?

This fund assists research, education, and community service programs related to breast cancer. The fund is administered by the Connecticut Department of Public Health.

Enter the amount you'd like to contribute here.

OR

To contribute directly, send donation to:
Department of Public Health - Community Health and Prevention Section
MS #11 CCS
PO Box 340308
Hartford CT 06134-0308

Make check payable to: Treasurer, State of Connecticut/Breast Cancer Fund

What is the Safety Net Services Fund?

This fund protects the children of families who are no longer eligible for public assistance benefits. The fund is administered by the Connecticut Department of Social Services.

Enter the amount you'd like to contribute here.

OR

To contribute directly, send donation to:
Department of Social Services Accounts Receivable
25 Sigourney St Ste 1
Hartford CT 06106-5033

Make check payable to: Commissioner of Social Services/Safety Net Fund

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