State of Connecticut Flag

Connecticut Sales Tax Guide for Businesses

Sales Tax Rate
6.35%
Local Taxes
None
Website
Department of Revenue Services
Tax Line
860-297-5962

We wrote this guide for online sellers who want to know if they even have to bother with sales tax in Connecticut, and if so, how best to tackle the sales tax situation in the Nutmeg State.

After reading this, you’ll know:

  • Do you or don’t you need to collect Connecticut sales tax?
  • Which customers do you collect from?
  • How much do you collect?
  • What do you do with all the sales tax you’ve collected?
  • Way more than you probably ever wanted to know about Connecticut sales tax!

Do you have sales tax nexus in Connecticut?

Good news! You only have to begin thinking about Connecticut sales tax if you have sales tax nexus in Connecticut.

“Sales tax nexus” is just a fancy way of saying “significant presence” in a state.

Connecticut considers a seller to have sales tax nexus in the state if you have any of the following in the state:

  • An office or place of business
  • An employee present in the state for more than 2 days per year
  • Goods in a warehouse
  • Ownership of real or personal property
  • Delivery of merchandise in Connecticut in vehicles owned by the taxpayer
  • Independent contractors or other representatives in Connecticut for more than 2 days per year

You can click here to read exactly what the Connecticut Department of Revenue (Connecticut’s taxing authority) has to say about what constitutes sales tax nexus in Connecticut.

Do you have sales tax nexus in Connecticut if you sell on FBA?

If you sell on Amazon FBA, you may have products stored in Connecticut’s Amazon fulfillment center.

You can do one of two things to determine whether or not you have items stored in the FBA warehouse in Connecticut:

  1. Login to Amazon Seller Central and pull your inventory report
  2. Sign up for a 30-day free trial of TaxJar and find out from where your Amazon inventory ships with our Amazon badge feature

Connecticut’s Amazon fulfillment centers are located at:

Read here for more about Amazon FBA and sales tax nexus. Here’s a list of all Amazon Fulfillment Centers in the country.

Is what you’re selling even taxable?

You’ve probably read this far because you realized you have sales tax nexus in Connecticut. Your next step is to determine if what you’re selling is even taxable.

Services in Connecticut are generally not taxable. So if you’re a freelance writer or a plumber, you’re in luck and you don’t have to worry about sales tax. But watch out – if the service you provide includes creating or manufacturing a product, you may have to deal with the sales tax on products.

Tangible products are taxable in Connecticut , with a few exceptions. These exceptions include certain some groceries, some clothing, safety gear like firearm locks, child car seats and bike helmets, compact fluorescent bulbs, college textbooks, medical equipment and certain motor vehicles. Click here for more about tax exempt goods in Connecticut.

So if you sell toys, then charge sales tax to your Connecticut customers.

But if you’re a graphic designer, don’t charge sales tax to your Connecticut customers.

If you have sales tax nexus in Connecticut and your products are taxable, your next step is to register for a sales tax permit.

How to Register for a Sales Tax Permit in Connecticut

Sellers with sales tax nexus in Connecticut must apply for a Connecticut sales tax permit.

Don’t skip this step! Many states consider it unlawful to collect sales tax in their name without a permit. Go here for more on how to register for a sales tax permit in Connecticut.

How to Collect Sales Tax in Connecticut

So you’ve determined that you have sales tax nexus in Connecticut and what you’re selling is taxable. And you’re all set and registered for your Connecticut sales tax permit(s).

The next step is to determine how much sales tax to collect.

Connecticut is one of the few states that only has a statewide sales tax rate. There are no local sales tax rates, which means that collecting sales tax is easy. No matter if you live in Connecticut or out of state, charge a flat 6.35% in sales tax to your customers in Connecticut. The same goes if you have nexus in Connecticut because you sell on FBA.

What are the Amazon sales tax settings for Connecticut?

If you are an Amazon pro seller and use Amazon to collect sales tax, be sure you have your Connecticut sales tax settings entered correctly. Find step-by-step instructions for setting up your Amazon sales tax settings here.

If you are a… State tax County tax City tax District tax Custom rate Is shipping taxable? Is gift wrapping taxable?
Seller living in Connecticut X       N/A Yes (if item is taxable) No
Seller living outside of Connecticut X       N/A Yes (if item is taxable) No

Should you collect sales tax on shipping charges in Connecticut?

The rule states that if the items that you are shipping are taxable, the shipping charges are also taxable. If you are shipping non-taxable items like food items, then the shipping is not taxable.

Read a full explanation of sales tax on shipping in Connecticut here.

Rank City Population County Total SalesTax
1 Bridgeport 147,629 Fairfield 6.350%
2 New Haven 130,322 New Haven 6.350%
3 Stamford 128,874 Fairfield 6.350%
4 Hartford 124,006 Hartford 6.350%
5 Waterbury 108,802 New Haven 6.350%
6 Norwalk 88,485 Fairfield 6.350%
7 Danbury 84,657 Fairfield 6.350%
8 New Britain 72,808 Hartford 6.350%
9 West Hartford 63,053 Hartford 6.350%
10 Greenwich 62,695 Fairfield 6.350%
11 Fairfield 61,523 Fairfield 6.350%
12 Hamden 61,218 New Haven 6.350%
13 Bristol 60,452 Hartford 6.350%
14 Meriden 59,988 New Haven 6.350%
15 Manchester 58,007 Hartford 6.350%
16 West Haven 54,927 New Haven 6.350%
17 Milford 53,206 Fairfield 6.350%
18 Stratford 52,609 Fairfield 6.350%
19 East Hartford 50,821 Hartford 6.350%
20 Middletown 46,756 Middlesex 6.350%

The Top 20 Most Populous Cities in Connecticut - CT only has one statewide sales tax rate of 6.35% (June 2017)

When are Connecticut Sales Tax Returns Due?

When you file and pay Connecticut sales tax depends on two things: your assigned filing frequency and your state’s due dates.

How often will you file sales tax returns in Connecticut?

States assign you a filing frequency when you register for your sales tax permit. In most states, how often you file sales tax is based on the amount of sales tax you collect from buyers in the state.

In Connecticut, you will be required to file and remit sales tax either monthly, quarterly, or annually.

How often you are required to file sales tax in Connecticut follows this general rule:

Average Monthly Tax Liability Filing Frequency
$333.34 and up Monthly
$83.34 to $333.33 Quarterly
$0 to $83.33 Annually

Connecticut sales tax returns are always due the last day of the month following the reporting period. If the filing due date falls on a weekend or holiday, sales tax is generally due the next business day.

2017 Connecticut Monthly Sales Tax Filing Due Dates

Taxable Period Due Date
January February 28, 2017
February March 31, 2017
*March May 1, 2017*
April May 31, 2017
May June 30, 2017
June July 31, 2017
July August 31, 2017
*August October 2, 2017*
September October 31, 2017
October November 30, 2017
*November January 2, 2018*
December January 31, 2018

*indicates a due date pushed back due to a weekend or holiday

2017 Connecticut Quarterly Sales Tax Filing Due Dates

Taxable Period Due Date
*Q1 (Jan-March) May 1, 2017*
Q2 (April-June) July 31, 2017
Q3 (July-Sept) October 31, 2017
Q4 (Oct-Dec) January 31, 2018

*indicates a due date pushed back due to a weekend or holiday

2017 Connecticut Annual Sales Tax Filing Due Dates

| Taxable Period | Due Date | |—————-|——————| | 2017 | January 31, 2018 |

Click here for more info on Connecticut sales tax filing due dates in 2017.

How to File Sales Tax in Connecticut

When it comes time to file sales tax in Connecticut you must do three things:

  1. Calculate how much sales tax you owe
  2. File a sales tax return
  3. Make a payment

We’ll walk you through these steps.

How to Calculate How Much Sales Tax You Owe in Connecticut

Calculating how much sales tax you should remit to the state of Connecticut is easy with TaxJar’s Connecticut sales tax report.

All you do is connect the channels through which you sell – including Amazon, eBay, Shopify, Square and more – and we’ll calculate exactly how much sales tax you collected. All the information you need to file your Connecticut sales tax return will be waiting for you in TaxJar. All you have to do is login!

How to File and Pay Sales Tax in Connecticut

You have two options for filing and paying your Connecticut sales tax:

  • File online File online at the Connecticut Department of Revenue Services. You can remit your payment through their online system. Connecticut requires that taxpayers pay electronically. If for some reason you can’t pay electronically, you can request a waiver here.
  • AutoFile Let TaxJar file your sales tax for you. We take care of the payments, too. You’ll never have to worry about spreadsheets, calculations or filling out complex sales tax returns.

Other Facts You Should Know about Connecticut Sales Tax Filing

There are a few more things you should know about sales tax in Connecticut:

Penalties:

  • Late Filing Penalty $50, plus 1% per month of the tax imposed
  • Late Payment Penalty 1% of the unpaid tax bill for each month (or fraction of a month) of delinquency

Other penalties for fraud or serial offenses include higher penalties and even criminal charges.

“Zero returns”:

Connecticut requires that any seller with a sales tax permit file a sales tax return on your due date even if you don’t have any sales tax to report or pay. Click here for a list of states that require zero sales tax returns.

And that’s it. You’ve mastered Connecticut sales tax filing! Now that sales tax is out of the way, you can get back to what you do best – running your business.

Connecticut Sales Tax Holidays

Connecticut has announced one sales tax holiday in 2017:

August 20-26, 2017: Back to School Sales Tax Holiday

Check here for more information about Connecticut’s sales tax holidays including how to handle sales tax holidays as an online seller.

Connecticut Sales Tax Resources

For more about Connecticut sales tax, check out the Connecticut section of the TaxJar blog.

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