The state Department of Revenue Services launched an amnesty program Oct. 28 targeting unpaid personal income and business taxes.
The amnesty program, which runs from Nov. 1, 2021 through Jan. 31, 2022, allows individuals and businesses to pay back taxes at a reduced interest rate and no penalties.
The program provides a 75% reduction in interest and waives penalties and the possibility of criminal prosecution for those who have not filed, have underreported, or have existing liabilities related to state taxes for any tax period ending on or before Dec. 31, 2020.
“We know the pandemic has been difficult but paying taxes is the responsibility of every individual and business and all of us must do our part,” said DRS Commissioner Mark Boughton.
“Taxes allow the state to make transformational investments in areas like infrastructure, green spaces, education and affordable childcare and healthcare programs—all of which enhance and make our communities better.
“We are offering a limited time period for those who owe taxes to get right. Those who don’t resolve their tax obligations by Jan. 31 will be subject to penalties and paying full interest, and could also face criminal prosecution.”
Outreach is being done to those with known existing liabilities and suspected non-filers. The state is working with local chambers and tax service organizations to help inform and guide businesses and individuals through the process."
Tax amnesty applications must be filed electronically and payment made in full by Jan. 31, 2022.
Once the amnesty ends, taxpayers will be liable for full tax payments, penalties, and interest.
All taxes administered by DRS, except for the Connecticut motor carrier road tax, are eligible for amnesty.
“We encourage anyone who owes back taxes to take advantage of this opportunity," Boughton said.
“This is your chance to get right with the state on any outstanding liabilities. If you’re unsure if you owe or how much you owe, reach out to DRS and we’re happy to help.”