Sec. 12-217nn. Qualified small business job creation tax credit program. (a) As used in this section:
(1) "Commissioner" means the Commissioner of Economic and Community Development;
(2) "Income year" means the income year or taxable year, as determined under this chapter or chapter 207 or 229, as the case may be;
(3) "Qualified small business" means an employer, subject to tax under this chapter or chapter 207 or 229, who employs less than fifty employees in Connecticut on the date of its application under subsection (c) of this section;
(4) "New employee" means a person hired after May 6, 2010, by the qualified small business during its income years commencing on or after January 1, 2010, and prior to January 1, 2013, to fill a new full-time job. A new employee does not include a person who was employed in Connecticut by a related person with respect to the qualified small business during the prior twelve months;
(5) "Full-time job" means a job in which an employee is required to work at least thirty-five or more hours per week for not less than forty-eight weeks in a calendar year. "Full-time job" does not include a temporary or seasonal job;
(6) "Related person" means (A) a corporation, limited liability company, partnership, association or trust controlled by the qualified small business, (B) an individual, corporation, limited liability company, partnership, association or trust that is in control of the qualified small business, (C) a corporation, limited liability company, partnership, association or trust controlled by an individual, corporation, limited liability company, partnership, association or trust that is in control of the qualified small business, or (D) a member of the same controlled group as the qualified small business; and
(7) "Control", with respect to a corporation, means ownership, directly or indirectly, of stock possessing fifty per cent or more of the total combined voting power of all classes of the stock of such corporation entitled to vote. "Control", with respect to a trust, means ownership, directly or indirectly, of fifty per cent or more of the beneficial interest in the principal or income of such trust. The ownership of stock in a corporation, of a capital or profits interest in a partnership, limited liability company or association or of a beneficial interest in a trust shall be determined in accordance with the rules for constructive ownership of stock provided in Section 267(c) of the Internal Revenue Code of 1986, or any subsequent corresponding internal revenue code of the United States, as from time to time amended, other than paragraph (3) of Section 267(c) of said Internal Revenue Code.
(b) (1) There is established a qualified small business job creation tax credit program for qualified small businesses whereby a qualified small business that hires a new employee who resides in the state may be allowed a tax credit against the tax imposed under this chapter or chapter 207 or 229, other than the liability imposed by section 12-707.
(2) The tax credit shall be an amount equal to two hundred dollars per month for each new employee hired.
(3) No tax credit shall be allowed for any new employee hired by a qualified small business in any income year commencing on or after January 1, 2013.
(4) No qualified small business may claim a tax credit for any new employee who is an owner, member or partner in the business or who is not employed at the close of the income year of the qualified small business.
(5) The qualified small business shall claim the tax credit for the income year in which the qualified small business hires a new employee and, if eligible, the two immediately succeeding income years. Any tax credit not used in an income year shall expire and shall not be refundable.
(c) To be eligible to claim the tax credit, a qualified small business shall apply to the commissioner in accordance with the provisions of this section. The application shall be on a form provided by the commissioner and shall contain sufficient information as required by the commissioner, including the activities that the qualified small business primarily engages in, the North American Industrial Classification System code of the qualified small business, the current number of employees employed by the qualified small business as of the application date, and the name and position or job title of the new employee hired.
(d) (1) Upon receipt of an application, the commissioner shall render a decision on the application, in writing, not later than thirty days after the date of its receipt by the commissioner. If the commissioner approves the application of the qualified small business, the commissioner shall issue a certification letter indicating that the tax credit will be available to be claimed by the qualified small business if the qualified small business otherwise meets the requirements of this section.
(2) The total amount of tax credits granted under this section and sections 12-217ii and 12-217oo shall not exceed eleven million dollars in any one fiscal year.
(3) No qualified small business claiming the tax credit under this section with respect to a new employee may claim any credit against any tax under any other provision of the general statutes with respect to the same new employee.
(e) If the qualified small business is an S corporation or an entity treated as a partnership for federal income tax purposes, the tax credit may be claimed by the shareholders or partners of the qualified small business. If the qualified small business is a single member limited liability company that is disregarded as an entity separate from its owner, the tax credit may be claimed by the limited liability company's owner.
(f) For a qualified small business subject to the tax imposed under chapter 229, no credit allowed under this section shall exceed the amount of tax imposed by said chapter. The commissioner shall annually provide to the Commissioner of Revenue Services a list detailing all tax credits that have been approved and all qualified small businesses that have been issued a certification letter under subsection (d) of this section.
(P.A. 10-75, S. 8.)
History: P.A. 10-75 effective May 6, 2010, and applicable to income years commencing on or after January 1, 2010.
ALL Connecticut Tax Rules subject to change and update you must confirm as filing or relying
DCarsonCPA Connecticut - The Oak Lines
Thursday, November 10, 2011
Checking in with State Government 11-10-11
From the Executive Branch:
State Officials Offer Help to Distressed Homeowners
State Officials Offer Help to Distressed Homeowners
| Gov. Malloy, Lt. Gov. Wyman Launch 28th Annual Care & Share Holiday Food Drive Gov. Malloy on Veterans Day Gov. Malloy: Windy Weather Tomorrow May Bring Down Damaged Trees, Limbs From the Legislative Branch: INTERIM BULLETIN NO. 24 MEETINGS SCHEDULED AT THE STATE CAPITOL/LEGISLATIVE OFFICE BUILDING FOR THE PERIOD OF NOVEMBER 14, 2011 THROUGH NOVEMBER 27, 2011
ATTACHMENTS Program Review and Investigations Committee Public Hearing Monday, November 14, 2011 at 1: 00 PM in Room 2D
Appropriations Committee Subject: Potential State Agency DeficienciesPublic Hearing Monday, November 14, 2011, 2: 00 PM, Room 2C Agency testimony will be taken in the following order: Ben Barnes, OPM Secretary; Department of Social Services; Teachers' Retirement Board; Public Defender Services Commission. Public speaker sign-up will be on a first-come, first-served basis, and will begin at 11: 00 AM in Room 2700. Public testimony will be limited to 3 minutes. Please submit 50 copies of written testimony at the time of sign-up. Testimony delivered after the start of the hearing may not be distributed until a later time. Electronic testimony will be accepted either in Word or PDF format via email at appropriationtestimo@cga. ct. gov for posting on the Committee's website and inclusion in the hearing transcript. Program Review and Investigations Committee Public Hearing Monday, November 14, 2011 at 4: 00 PM in Room 2D
Insurance & Real Estate Committee The Insurance and Real Estate Committee will hold an informational meeting to be followed by a public hearing on Tuesday, November 15th at 1: 00PM in Room 2D of the LOB. Please submit 35 copies of written testimony to Committee staff two hours prior to the start of the meeting in Room 2800 of the LOB. Testimony submitted after the designated time may not be distributed until after the hearing. Sign-up for the hearing will begin at 11: 00AM in Room 2800 of the LOB. Speakers will be limited to three minutes of testimony. Sign-up will conclude at 1: 00PM. Anyone wishing to testify once the meeting has commenced may sign up in Room 2D.Informational Meeting & Public Hearing Judiciary Committee The Judiciary Committee will hold a public hearing to be followed by a committee meeting on Wednesday, November 16, 2011 at 2: 00 P. M. in Room 2B of the LOB. Please submit 50 copies of written testimony to Committee staff at least thirty minutes prior to the start of the hearing in Room 2500 of the LOB. Testimony submitted after the designated time may not be distributed until after the hearing. Sign-up for the hearing will begin at 1: 30 P. M. in Room 2500 of the LOB. Sign-up will conclude at 2: 00 P. M. Anyone wishing to testify once the public hearing has commenced may sign up in Room 2B.Public Hearing Please Note: Limited parking facilities make it impossible to guarantee parking for members of the public attending meetings and functions at the Capitol and LOB. Parking for the public must be on a space-available basis only. According to C. G. S. 2-1e At the State Capitol and Legislative Office Building, possession, other than for law enforcement or official ceremonial purposes, of any firearm, whether loaded or unloaded, or billy club, switchblade, gravity knife, bludgeon, brass knuckles or any other dangerous or deadly weapon or instrument, or any explosive, incendiary or other dangerous device, is illegal and punishable by up to five years in prison and $ 5,000. *** Per Joint Rule 30(c) No person shall use a cellular telephone or similar device (pager) in the Senate Chamber while the Senate is meeting, in the House Chamber while the House is meeting, or in any room or area while a committee is meeting or holding a public hearing. DEVICES MUST BE DEACTIVATED OR HAVE THE ALERT MODE SET TO SILENT.From the Judicial Branch: Latest News and Updates http://www.jud.ct.gov/index.asp | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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