DRS: SN 2007(6), 2007 Legislative Change Affecting the Real Estate Conveyance Tax

 

STATE OF CONNECTICUT
DEPARTMENT OF REVENUE SERVICES

450 Columbus Blvd
Hartford CT 06103
 
 
 
 
 
 

 
 
 
SN 2007(6)
 
2007 Legislative Change Affecting the
Real Estate Conveyance Tax
 

Purpose: This Special Notice describes recent legislative changes affecting the real estate conveyance tax. 


Effective Date: July 1, 2007.


Statutory Authority: Conn. Gen. Stat. §12-494(a), as amended by House Bill No. 8001, §128, of the June 2007 Spec. Sess.; Conn. Gen. Stat. §12-494(b), as amended by 2007 Conn. Pub. Acts 154, §6.


Unimproved Land Includes Farm, Forest, and Open Space Land: Recent legislation enacted by the Connecticut General Assembly amends Conn. Gen. Stat. §12-494(a) to define unimproved land to include any land designated as farm, forest, or open space land. Prior to this amendment, the statute did not define unimproved land for purposes of the real estate conveyance tax.

For purposes of this amendment, land designated as farm land means property classified as farm land under Conn. Gen. Stat. §12-107c, land designated as forest land means land classified as forest land under Conn. Gen. Stat. §12-107d, and land designated as open space land means land classified as open space land under Conn. Gen. Stat. §12-107e.
 

Municipal Real Estate Conveyance Tax Rate Remains 0.25%: Effective July 1, 2007, the municipal real estate conveyance tax rate on deeds conveying an interest in real property before July 1, 2008, will remain at one-fourth of one per cent (0.25%). The municipal real estate conveyance tax rate on deeds conveying an interest in real property on or after July 1, 2008 will be eleven-one hundredths of one per cent (0.11%). This increase in the rate to 0.25% was first imposed under 2003 Conn. Pub. Acts 2, §40, and was thereafter extended by 2004 Conn. Pub. Acts 216, §51, 2005 Conn. Pub. Acts 268, §1, and House Bill No. 8001, §128, of the June 2007 Spec. Sess.


Effect on Other Documents: None


Effect of This Document: A Special Notice announces a new policy or practice in response to changes in state or federal laws or regulations or to judicial decisions. A Special Notice indicates an informal interpretation of Connecticut tax law by the Department of Revenue Services (DRS).


For Further Information: Call DRS during business hours, Monday through Friday:

  • 1-800-382-9463 (Connecticut calls outside the Greater Hartford calling area only); or
  • 860-297-5962 (from anywhere).

TTY, TDD, and Text Telephone users only may transmit inquiries anytime by calling 860-297-4911.


Forms and Publications: Forms and publications are available anytime by:

  • Internet: Visit the DRS website at www.ct.gov/DRS to download and print Connecticut tax forms; or
  • Telephone: Call 1-800-382-9463 (Connecticut calls outside the Greater Hartford calling area only) and select Option 2 from a touch-tone phone, or call 860-297-4753 (from anywhere).

 
Paperless Filing/Payment Methods (fast, easy, free, and confidential):
  • For business returns: Use Fast-File to file sales and use taxes, business use tax, room occupancy tax, estimated corporation business tax, business entity tax, attorney occupational tax, nursing home provider fee, admissions and dues tax, or withholding tax returns over the Internet. Visit the DRS website at www.ct.gov/DRS and click on File/Register OnLine.
  • For payment of business taxes other than those listed above: Use Fast-File to pay your business taxes over the Internet or by phone. Visit the DRS website at www.ct.gov/DRS and click on Electronic Services for a list of eligible taxes. The ACH debit method is used to make the transfer. No preregistration is required.
  • For resident income tax returns: Use WebFile to file personal income tax returns over the Internet. Visit the DRS website at www.ct.gov/DRS and click on File/Register OnLine.
  • For electronic filing of income tax extensions, estimated payments, and for electronic bill payments: Use WebFile to electronically file personal income tax returns over the Internet. You can also use WebFile to make an electronic income tax payment for a prior year. Visit the DRS website at www.ct.gov/DRS and click on File/Register OnLine.

DRS E-News Service: Get connected to the latest news from DRS. Receive notification by email of changes to legislation, policies, and procedures. DRS E-News is easy to sign up for – visit www.ct.gov/DRS and follow the directions.  Subscription services are available for employer’s withholding tax, Fast-File information, Alerts, News – Press Releases, and Top 100 Delinquency List.


SN 2007(6)
Real Estate Conveyance Tax

Issued: 06/29/2007