News

Many private schools across Connecticut object to a bill to eliminate tax exemptions for faculty and staff housing for private secondary schools, saying they already contribute to the towns where they're located and this could affect their operations.

Faced with a slumping economy and likely big cuts in federal aid, state legislators are once again weighing whether to turn delinquent taxpayers over to collection agencies — and block renewal of their driver’s licenses or vehicle registrations.

Lamont remains wary about progressive CT tax hikes.

Members of the House of Representative’s Tax Equity Caucus and advocates called on the Connecticut General Assembly and the governor on Tuesday morning to support what they called “economic populism” in the form of tax relief for middle class and working class people.

A proposed tax on sweetened beverages returned to the Connecticut legislature on Monday, reviving a years-long debate over the balance between public health policy, small business burdens, and the goal providing free school meals to all students.

Whether you’re a digital nomad or someone who’s worked outside your home state for just one day, you might be aware that states can tax income that out-of-state workers earn within their borders.

The federal government will pay about 7,000 IRS probationary employees, who were laid off less than a month ago, not to work while lawsuits over layoffs wind their way through the court system, the agency said Tuesday in an email.

Clients worry about crazy things every tax season, but this year their fears and obsessions and just-plain-odd ideas seem to be taken to a new level.

“There’s been a big push from BioCT and other legislative action groups” to support the increase, said Bill Claffey, a tax attorney and partner at accounting firm Fiondella, Milone & LaSaracina LLP. He participated in a panel discussion during the event.

According to a news release, CohnReznick will operate in an alternative practice structure following the closing of the transaction. CohnReznick LLP, a licensed CPA firm, will provide attest services, and CohnReznick Advisory LLC (which will not be a licensed CPA firm) will provide tax, advisory, and other nonattest services.

We asked the DRS to extend three deadlines from March 15, 2025 to April 15, 2025. Based on the DRS Commissioner’s authority to extend, due to statutory limitations, he was only able to extend two of the dates to April 15, 2025 as requested: Form CT-PET, Connecticut Pass-Through Entity Tax Return and Form CT-1065/CT-1120SI, Connecticut Composite Income Tax Return.

The purpose of this Announcement is to provide taxpayers and practitioners with an update as to the availability of the composite income tax return and the pass-through entity tax return for the taxable year starting January 1, 2024. As explained herein, these forms are currently available in and may be filed through the Department’s on-line portal (myconneCT).

New Hampshire is fighting back. The Granite State's latest move to protect businesses from sales tax legislation, HB 135, was introduced on Jan. 8, 2025. It states that "no New Hampshire business shall be required to collect sales taxes for a foreign jurisdiction [a.k.a., another state] unless mandated by Congress or New Hampshire law."

As the busy season ramps up, the risk of cyberattacks increases. Cybercriminals know that heightened workloads, tight deadlines and the influx of client communications create opportunities for exploitation. Whether through phishing emails, intercepted networks or fraudulent disbursement requests, the stakes for CPAs and their clients are high.

The Connecticut Department of Revenue Services (DRS) today announced that it is currently accepting individual state income tax returns for taxable year 2024. The state and federal income tax filing deadline is Tuesday, April 15, 2025.

Does your firm have fun during busy season? If not, consider scheduling activities that build community, bring levity to the office, and help keep staff stay motivated through the busiest time of the year.

The Connecticut Department of Revenue Services (DRS) today released the state’s tax gap report, required under Public Act 23-204 sec. 374. This year’s report analyzes data from the 2022 tax year and estimates Connecticut’s net tax gap at $2.998 billion. This reflects the difference between the calculated gross tax gap of $3.702 billion and the approximately $704 million expected to be collected through ongoing DRS enforcement actions.

As part of its continuous efforts to modernize customer service and improve the taxpayer experience, the Connecticut Department of Revenue Services (DRS) today announced the launch of its new DRS eAssistant. The DRS eAssistant is available to all Connecticut taxpayers on the myconneCT homepage and can be found in the bottom right-hand corner.

The Internal Revenue Service today issued guidance on the income and employment tax treatment of contributions and benefits paid in certain situations under a state paid family and medical leave program, as well as the related reporting requirements. Rev. Rul. 2025-4 PDF provides guidance to the District of Columbia and states that have mandatory paid family and medical leave programs and for employees working in and employers operating in those states. Today’s guidance responds to requests to clarify the federal tax treatment of state paid leave programs that help pay employees who can’t work because of non-occupational injuries to themselves or family members, as well as sickness and disabilities.

The Internal Revenue Service today announced that the nation’s 2025 tax season will start on Monday, Jan. 27, 2025, and will feature expanded and enhanced tools to help taxpayers as a result of the agency’s historic modernization efforts.