State’s tax man offers ‘get right’ window — penalty free
Connecticut threw open on Monday a window of amnesty for those entering this year with outstanding taxes, with the possibility for individuals and businesses to avoid penalties and any possibility of prosecution in exchange for settling up with the state.
Authorized last June by the Connecticut General Assembly, the amnesty window runs through Jan. 31, 2022. Amounts due must be paid in full, with no installment options available. Interest payments still apply, but at only 25 percent of the amount that would otherwise be due.
Information is online at GetRightCT.com or via telephone at 1-866-658-1528. The Department of Revenue Services offers detailed information in an online FAQ.
It is the first such program offered by the Department of Revenue Services since Gov. Ned Lamont selected Mark Boughton as commissioner, who long served as the mayor of Danbury.
On Monday, Boughton told Hearst Connecticut Media as many as 45 percent of taxpayers do not pay the full amounts they owe, whether on income generated under the table in the “cash economy” in his words or businesses that underreport the amount of sales tax they owe. In many instances, taxpayers owe a few hundred dollars or less.
“This is a good way to get everything squared away,” Boughton said Monday. “You want to make this go away? Give us ‘X’ right now and we’ll save you a ton of money.”
On the back side of the Great Recession in 2013, Connecticut recouped $193 million in a tax amnesty program, according to John Biello, deputy DRS commissioner. Biello told members of the legislature last February that DRS had anticipated $35 million under that year’s program. Connecticut followed that up with the 2017 “CT Fresh Start” amnesty program.
In addition to advertising, DRS is attempting to contact those in arrears and “suspected non-filers” in the words of DRS — including businesses that have yet to register with the state. Lamont’s budget chief Melissa McCaw told legislators early this year that DRS was on the cusp of bringing a new system online that uses advanced analytical engines to identify people or businesses that are not filing taxes with the state.
The department pledges not to use amnesty applications as evidence in any criminal investigation or prosecution, with the exception of instances in which one knowingly files a false application for amnesty. Those with ongoing audits, formal protests or litigation with DRS are eligible for amnesty. The program is not open to those who have accepted payment offers with DRS or are under criminal investigation.
The Connecticut motor carrier road tax is not being included in the amnesty program.