CT SB00413

Imposes a tax on independent institutions of higher education with endowment funds of $10 billion or more in the aggregate, effective January 1, 2017.

Requires institutions to add to federal unrelated business taxable income the amount by which endowment fund increases exceed the sum of: (A) total expenditures for tax-exempt purposes during the year, plus (B) endowment growth attributable to Consumer Price Index increases.

Endowment fund decreases are not deductible from federal unrelated business taxable income.

Requires taxpayers to report endowment fund amounts for current and preceding taxable years, and all additions to endowment funds including donations, contributions, and realized and unrealized asset appreciation.

Tax returns must be filed with the Commissioner of Revenue Services by the same deadline as federal unrelated business income tax returns.