News

DRS Commissioner Column: Tax Season Continues...

April 20, 2021

For the second consecutive year, we enter the third week of April with an extended personal income tax filing and payment deadline still ahead of us.

  • state tax

Democrat floats paying for SALT cap repeal with more tax audits

April 19, 2021

Representative Josh Gottheimer said a repeal of the $10,000 cap on state and local tax, or SALT, deductions could be offset by cracking down on tax cheats, the first proposal from Democrats as a way to pay for revival of a valuable tax break.

  • state tax
  • advocacy - federal
  • federal tax

How to Thrive After Another Challenging Tax Season

April 19, 2021

This tax season will go on record as another challenging one for tax practitioners. COVID relief programs have added another layer of complexity to our normally complicated process.

  • state tax
  • federal tax

There’s a plan to get rid of property tax on cars. But how would towns make up the difference?

April 19, 2021

For more than a decade, state officials have flirted with removing the property tax on motor vehicles. Sen. John Fonfara of Hartford and other Democrats have a plan to make the levy go away — it just doesn’t necessarily involve a tax cut for everyone.

  • state tax
  • advocacy - state

Electing To Apply a 2020 Return Overpayment From a May 17 Payment with Extension Request to 2021 Estimated Taxes

April 13, 2021

The IRS postponed to May 17, 2021, the date to file 2020 Forms 1040 and 1040-SR and to pay any related tax. The due dates for estimated tax payments for 2021 were not postponed. The first 2021 estimated tax installment is due April 15, 2021. If an individual taxpayer has a 2020 overpayment and elects to credit the 2020 overpayment against the 2021 estimated tax, the date on which the 2020 overpayment is applied against the 2021 estimated tax depends on: (a) the date(s) of payment, and (b) the extent to which an overpayment exists as of April 15, 2021. An extension of time to file has no effect on either the date of payment or the date on which an overpayment exists.

  • state tax
  • federal tax

How the 2021 busy season is different

April 12, 2021

Across the country, some accounting firms prepared for the 2021 busy season by staffing up and offering more flexible work options for employees who are dealing with family issues during the pandemic.

  • coronavirus
  • state tax
  • federal tax

Connecticut businesses could owe up to $1 billion in unemployment taxes. They want the state to cover it with federal relief funds.

April 07, 2021

Connecticut’s businesses on Wednesday called on the General Assembly and Gov. Ned Lamont to use federal coronavirus relief funds to spare firms as much as $1 billion in unemployment taxes.

  • business and industry
  • coronavirus
  • practice management
  • state tax
  • advocacy - state

Interstate tax issues on the rise for employees, businesses

April 07, 2021

Employees who move to low-tax states to take advantage of telecommuting during the pandemic may still be taxed by their former residence, as more states levy taxes on cross-border business.

  • coronavirus
  • state tax
  • advocacy - federal
  • federal tax

How the American Rescue Plan Affects Families

April 06, 2021

The American Rescue Plan went into effect in March 2021. Among other things, the act affects tax planning for individuals who are unemployed and for people who have children. It also authorized the sending of a third round of stimulus checks. Here's what you need to know.

  • state tax
  • federal tax

DRS Issues Guidance on Unemployment Compensation Exclusion for Connecticut Taxpayers

April 05, 2021

Last night the DRS issued a new taxpayer services bulletin: Taxpayer Services Special Bulletin TSSB 2021-2, Impact of Federal Unemployment Compensation Exclusion on Connecticut Taxpayers.

  • state tax
  • federal tax

IRS Seeking Connecticut Volunteers to Serve on Taxpayer Advocate Panel

April 05, 2021

The IRS announced it's looking for volunteers from Connecticut to serve on the Taxpayer Advocacy Panel (TAP). If interested in serving, applications are being accepted through May 14.

  • state tax
  • federal tax

KPMG debuts tax data analysis tool

April 05, 2021

KPMG has created a data analysis tool to extract relevant information from financial and other reports and plug it automatically into tax returns.

  • member news
  • state tax
  • technology and cybersecurity
  • federal tax

Emergency aid granted to students due to COVID are not taxable

March 30, 2021

The Internal Revenue Service issued frequently asked questions today on how students and higher education institutions should report pandemic-related emergency financial aid grants.

  • coronavirus
  • state tax
  • federal tax

DRS Shares Remote Work FAQs

March 29, 2021

As set forth in the Commissioner’s Bulletin, the Department of Revenue Services (DRS) will provide new information regarding H.B. No. 6516 as it becomes available. The following is a list of frequently asked questions that have been received by DRS since the issuance of the Commissioner’s Bulletin.

  • coronavirus
  • state tax
  • advocacy - state
  • federal tax

IRS extends additional tax deadlines to May 17 - does NOT include estimated payments

March 29, 2021

The Internal Revenue Service today announced that individuals have until May 17, 2021 to meet certain deadlines that would normally fall on April 15, such as making IRA contributions and filing certain claims for refund.

  • coronavirus
  • state tax
  • advocacy - federal
  • federal tax

Revenue Services: Connecticut filing, payment deadlines for individual income tax returns extended to May 17, 2021

March 18, 2021

At Governor Lamont’s direction, Commissioner Mark D. Boughton announced today that the Department of Revenue Services (DRS) is extending the filing and payment deadline for Connecticut individual income tax returns to Monday, May 17th, 2021.

  • state tax
  • federal tax

DRS Commissioner's Column: March 2021

March 17, 2021

DRS Commissioner Mark Boughton shares his column with CTCPA members.

  • state tax

Tax Day for individuals extended to May 17: Treasury, IRS extend filing and payment deadline

March 17, 2021

The Treasury Department and Internal Revenue Service announced today that the federal income tax filing due date for individuals for the 2020 tax year will be automatically extended from April 15, 2021, to May 17, 2021. The IRS will be providing formal guidance in the coming days.

  • coronavirus
  • state tax
  • advocacy - federal
  • federal tax

Post-COVID State Tax Policy Changes

March 16, 2021

Programs and policies designed to soften the economic impact of the pandemic are still being rolled out today, and may continue at the state level.

  • coronavirus
  • state tax

American Rescue Plan's Individual Tax Breaks

March 11, 2021

The signing of the American Rescue Plan comes just a few days before extended unemployment benefits were scheduled to start running out. There are several tax breaks for individuals to take note of.

  • coronavirus
  • personal financial planning
  • state tax
  • federal tax