Plastic Bag Ban Takes Effect July 1

The 10-cent fee Connecticut retailers must charge for single-use plastic bags ends June 30, 2021, the day before a ban on the bags takes effect.

Retailers will no longer have to collect the fee as of July 1, but must remit to the state any fees collected through June 30, according to the state Department of Revenue Services.

Retailers must report the plastic bag fee on Line 11a of the Connecticut Sales and Use Tax Return.

Monthly and quarterly filers must remit fees for the quarter ending June 30, 2021 by July 31, 2021, while the deadline for annual filers is Jan. 31, 2022.

A retailer who improperly collects the fee or a customer who mistakenly pays it after June 30 may seek a refund from the DRS by following steps in the Sales and Use Tax Refund policy.

The fee, its sunsetting, and the permanent banning of plastic bags with a thickness of less than 4.0 mils are part of a law enacted in August 2019.

Retailers may continue to use paper or reusable bags, but must collect and remit sales taxes on bag sales if they charge for them.

The DRS recently updated its guidance on the plastic bag fee and bag ban.