CT SB00436

Municipalities may establish by ordinance various types of taxes including retail sales tax, food and beverage tax, amusements tax, hotel tax, payroll taxes, or hospital bed taxes, subject to approval by the legislative body or board of selectmen.

Municipalities must conduct annual reviews of any tax imposed under this section, commencing one year after original imposition, and the tax expires at the end of the calendar quarter or 30 days after review if not amended or approved.

The Department of Revenue Services shall collect and administer municipal taxes in the same manner as state taxes and remit collected amounts to municipalities quarterly, with authority to deduct administrative costs for fiscal years ending June 30, 2011 and 2012.

Municipalities may use revenue generated from these taxes for the general fund, capital expenditures, or any regular or special purpose as provided in the annual budget.

Municipalities may impose surcharges on fees established by statute for municipal services, not to exceed the actual costs to provide those services including application review, mailings, publications, compliance monitoring, and employee salaries.