Sec. 12-700. Imposition of tax on income. Rate.
Sec. 12-700. Imposition of tax on income. Rate. (a) There is hereby imposed on
the Connecticut taxable income of each resident of this state a tax:
(1) At the rate of four and one-half per cent of such Connecticut taxable income for
taxable years commencing on or after January 1, 1992, and prior to January 1, 1996.
(2) For taxable years commencing on or after January 1, 1996, but prior to January
1, 1997, in accordance with the following schedule:
(A) For any person who files a return under the federal income tax for such taxable
year as an unmarried individual or as a married individual filing separately:
$67.50, plus 4.5% of the
excess over $2,250
(B) For any person who files a return under the federal income tax for such taxable
year as a head of household, as defined in Section 2(b) of the Internal Revenue Code:
$105.00, plus 4.5% of the
excess over $3,500
(C) For any husband and wife who file a return under the federal income tax for
such taxable year as married individuals filing jointly or a person who files a return
under the federal income tax as a surviving spouse, as defined in Section 2(a) of the
Internal Revenue Code:
$135.00, plus 4.5% of the
excess over $4,500
(D) For trusts or estates, the rate of tax shall be 4.5% of their Connecticut taxable
income.
(3) For taxable years commencing on or after January 1, 1997, but prior to January
1, 1998, in accordance with the following schedule:
(A) For any person who files a return under the federal income tax for such taxable
year as an unmarried individual or as a married individual filing separately:
$187.50, plus 4.5% of the
excess over $6,250
(B) For any person who files a return under the federal income tax for such taxable
year as a head of household, as defined in Section 2(b) of the Internal Revenue Code:
$300.00, plus 4.5% of the
excess over $10,000
(C) For any husband and wife who file a return under the federal income tax for
such taxable year as married individuals filing jointly or any person who files a return
under the federal income tax for such taxable year as a surviving spouse, as defined in
Section 2(a) of the Internal Revenue Code:
$375.00, plus 4.5% of the
excess over $12,500
(D) For trusts or estates, the rate of tax shall be 4.5% of their Connecticut taxable
income.
(4) For taxable years commencing on or after January 1, 1998, but prior to January
1, 1999, in accordance with the following schedule:
(A) For any person who files a return under the federal income tax for such taxable
year as an unmarried individual or as a married individual filing separately:
$225.00, plus 4.5% of the
excess over $7,500
(B) For any person who files a return under the federal income tax for such taxable
year as a head of household, as defined in Section 2(b) of the Internal Revenue Code:
$360.00, plus 4.5% of the
excess over $12,000
(C) For any husband and wife who file a return under the federal income tax for
such taxable year as married individuals filing jointly or any person who files a return
under the federal income tax for such taxable year as a surviving spouse, as defined in
Section 2(a) of the Internal Revenue Code:
$450.00, plus 4.5% of the
excess over $15,000
(D) For trusts or estates, the rate of tax shall be 4.5% of their Connecticut taxable
income.
(5) For taxable years commencing on or after January 1, 1999, but prior to January
1, 2003, in accordance with the following schedule:
(A) For any person who files a return under the federal income tax for such taxable
year as an unmarried individual or as a married individual filing separately:
$300.00, plus 4.5% of the
excess over $10,000
(B) For any person who files a return under the federal income tax for such taxable
year as a head of household, as defined in Section 2(b) of the Internal Revenue Code:
$480.00, plus 4.5% of the
excess over $16,000
(C) For any husband and wife who file a return under the federal income tax for
such taxable year as married individuals filing jointly or any person who files a return
under the federal income tax for such taxable year as a surviving spouse, as defined in
Section 2(a) of the Internal Revenue Code:
$600.00, plus 4.5% of the
excess over $20,000
(D) For trusts or estates, the rate of tax shall be 4.5% of their Connecticut taxable
income.
(6) For taxable years commencing on or after January 1, 2003, in accordance with
the following schedule:
(A) For any person who files a return under the federal income tax for such taxable
year as an unmarried individual or as a married individual filing separately:
excess over $10,000
(B) For any person who files a return under the federal income tax for such taxable
year as a head of household, as defined in Section 2(b) of the Internal Revenue Code:
excess over $16,000
(C) For any husband and wife who file a return under the federal income tax for
such taxable year as married individuals filing jointly or any person who files a return
under the federal income tax for such taxable year as a surviving spouse, as defined in
Section 2(a) of the Internal Revenue Code:
excess over $20,000
(D) For trusts or estates, the rate of tax shall be 5.0% of the Connecticut taxable
income.
(7) The provisions of this subsection shall apply to resident trusts and estates and,
wherever reference is made in this subsection to residents of this state, such reference
shall be construed to include resident trusts and estates, provided any reference to a
resident's Connecticut adjusted gross income derived from sources without this state
or to a resident's Connecticut adjusted gross income shall be construed, in the case of
a resident trust or estate, to mean the resident trust or estate's Connecticut taxable income
derived from sources without this state and the resident trust or estate's Connecticut
taxable income, respectively.
(b) There is hereby imposed on the Connecticut taxable income derived from or
connected with sources within this state of each nonresident a tax which shall be the
product of an amount equal to the tax computed as if such nonresident were a resident,
multiplied by a fraction, the numerator of which is the nonresident's Connecticut adjusted gross income derived from or connected with sources within this state and the
denominator of which is the nonresident's Connecticut adjusted gross income, provided,
if the nonresident's Connecticut adjusted gross income is less than such nonresident's
Connecticut adjusted gross income derived from or connected with sources within this
state, (1) such nonresident's Connecticut adjusted gross income derived from or connected with sources within this state, reduced by the amount of the exemption provided
in section 12-702, shall be such nonresident's Connecticut taxable income derived from
or connected with sources within this state and shall be multiplied by the tax rate specified in subsection (a) of this section for the purposes of determining the tax pursuant to
this section and (2) such nonresident's Connecticut adjusted gross income derived from
or connected with sources within this state shall be such nonresident's Connecticut
adjusted gross income for the purposes of determining the credit pursuant to section 12-703. The provisions of this subsection shall also apply to nonresident trusts and estates
and, wherever reference is made in this subsection to nonresidents of this state, such
reference shall be construed to include nonresident trusts and estates, provided any
reference to a nonresident's Connecticut adjusted gross income derived from sources
within this state or to a nonresident's Connecticut adjusted gross income shall be construed, in the case of a nonresident trust or estate, to mean the nonresident trust or estate's
Connecticut taxable income derived from sources within this state and the nonresident
trust or estate's Connecticut taxable income, respectively.
(c) (1) There is hereby imposed on the Connecticut taxable income derived from
or connected with sources within this state of each part-year resident a tax which shall
be a product equal to the tax computed as if such part-year resident were a resident,
multiplied by a fraction, the numerator of which is the part-year resident's Connecticut
adjusted gross income derived from or connected with sources within this state, as described in subsection (a) of section 12-717, and the denominator of which is the part-year resident's Connecticut adjusted gross income, as described in subdivision (2) of
this subsection, provided, if the part-year resident's Connecticut adjusted gross income
is less than such part-year resident's Connecticut adjusted gross income derived from
or connected with sources within this state, (A) such part-year resident's Connecticut
adjusted gross income derived from or connected with sources within this state, reduced
by the amount of the exemption provided in section 12-702, shall be such part-year
resident's Connecticut taxable income derived from or connected with sources within
this state and shall be multiplied by the tax rate specified in subsection (a) of this section
for the purposes of determining the tax pursuant to this section and (B) such part-year
resident's Connecticut adjusted gross income derived from or connected with sources
within this state shall be such part-year resident's adjusted gross income for the purposes
of determining the credit pursuant to section 12-703. The provisions of this subsection
shall apply to part-year resident trusts and, wherever reference is made in this subsection
to part-year residents, such reference shall be construed to include part-year resident
trusts, provided any reference to a part-year resident's Connecticut adjusted gross income derived from sources within this state or a part-year resident's Connecticut adjusted gross income shall be construed, in the case of a part-year resident trust, to mean
the part-year resident trust's Connecticut taxable income derived from sources within
this state and the part-year resident trust's Connecticut taxable income, respectively.
(2) For purposes of subdivision (1) of this subsection and subsection (a), the Connecticut adjusted gross income of a part-year resident (A) changing his status from
resident to nonresident shall be increased or decreased, as the case may be, by the items
accrued under subdivision (1) of subsection (c) of section 12-717, to the extent not
otherwise includable in Connecticut adjusted gross income for the taxable year and (B)
changing his status from nonresident to resident shall be increased or decreased, as the
case may be, by the items accrued under subdivision (2) of subsection (c) of section 12-717, to the extent included in Connecticut adjusted gross income for the taxable year.
(d) The provisions of this chapter shall be applicable with respect to any person,
trust or estate. Whenever, in this chapter, "any person" appears without "trust or estate",
the reference to any person shall be deemed to include any trust and any estate unless,
in the context of the particular provision, the reference to any person could not be applicable in the case of a trust or in the case of an estate.
(June Sp. Sess. P.A. 91-3, S. 51, 168; May Sp. Sess. P.A. 92-5, S. 1, 37; P.A. 93-74, S. 63, 67; 93-332, S. 6, 42; P.A.
95-160, S. 30, 69; P.A. 96-139, S. 8, 12, 13; P.A. 97-309, S. 8, 23; 97-322, S. 5, 7, 9; P.A. 03-2, S. 22.)
History: June Sp. Sess. P.A. 91-3, S. 51, effective August 22, 1991, and applicable to taxable years of taxpayers
commencing on or after January 1, 1991; May Sp. Sess. P.A. 92-5 made various technical and minor changes, effective
June 19, 1992, and applicable to taxable years of taxpayers commencing on or after January 1, 1992; P.A. 93-74 amended
Subsec. (c) to add provisions re applicability of tax for part-year residents as Subdiv. (2), designating previously existing
provisions as Subdiv. (1) and prior Subdivs. as Subparas. (A) and (B), effective May 19, 1993, and applicable to taxable
years commencing on and after January 1, 1993; P.A. 93-332 amended Subsec. (c)(2) making technical changes, effective
June 25, 1993, and applicable to taxable years on or after January 1, 1993; P.A. 95-160 amended Subsecs. (a) to (c) to
decrease tax rate to 3% from 4.5% in accordance with the schedules in Subsec. (a)(2) and (3), effective June 1, 1995, and
applicable to income years commencing on or after January 1, 1996; P.A. 96-139 amended Subsec. (a) to add references
to filing return status under the federal income tax as defined in the Internal Revenue Code, and amended Subsec. (a)(3)(C)
to change the rate of tax for persons filing joint returns on taxable income over $9,000 from $180.00 to $270.00, plus 4.5%
of the excess over $9,000, effective May 29, 1996, and changed effective date of P.A. 95-160 but without affecting this
section; P.A. 97-309 added Subsec. (a)(4) to increase amount of taxable income taxed at 3% for the taxable year commencing
January 1, 1998, and Subsec. (a)(5) to increase amount of taxable income taxed at 3% for taxable years commencing on
or after January 1, 1999, effective the later of July 1, 1997, or the first day of the calendar month immediately following
the last action necessary to make effective a final budget for the biennium ending June 30, 1999, provided for purposes of
this section any legislative action to continue the appropriations for the fiscal year ending June 30, 1997, with adjustments
shall not constitute a final budget for the biennium ending June 30, 1999, and shall be applicable to income years commencing on or after January 1, 1998; P.A. 97-322 amended Subsec. (a)(3) and (5) to increase amount of taxable income subject
to 3% rate, effective July 1, 1997 and revised effective date of P.A. 97-309 but without affecting this section; P.A. 03-2
amended Subsec. (a)(5) and added new Subdiv. (6) to increase the top rate to 5% and redesignated existing Subdiv. (6) as
Subdiv. (7), effective February 28, 2003, and applicable to taxable years commencing on or after January 1, 2003.
State has power to tax separate from that of federal government and therefore it cannot be limited by federal statutes
or regulations. 49 CS 38.