Bill 5302 Summary

• Repeals and replaces Section 12-204 of general statutes regarding tax return examinations and assessments by the Department of Revenue Services commissioner.

• Establishes a three-year statute of limitations for the commissioner to examine or reexamine tax returns, beginning from either the return's due date or receipt date, whichever is later.

• Imposes penalties of 10% of deficiency (or $50 minimum) for negligence or disregard of tax laws, and 25% of deficiency for fraud or intent to evade taxes, with only one penalty allowed per tax period.

• Extends the payment deadline for newly licensed insurance companies from 45 days to 90 days after receiving their initial business license to pay taxes on net direct premiums from the previous five calendar years.

• Takes effect upon passage and amends Connecticut General Statutes sections 12-204 and 12-210(a).