The Connecticut Department of Revenue Services released its 2018 income tax withholding calculation rules and wage-bracket tables to its website. According to the guidance, the 2018 withholding calculation rules and 2018 withholding tables are unchanged from 2017.

There is no percentage method available to determine Connecticut withholding.

The Department has not yet released the 2018 Connecticut Circular CT Employer's Tax Guide or the 2018 Form CT-W4 (although 2018 Form CT-W4P, Withholding Certificate for Pension or Annuity Payments, has been released).

For more information, contact the Department at +1 860 297 5962 or toll free in Connecticut at +1 800 382 9463 or see the Department's website.

Supplemental withholding

Connecticut does not provide for a supplemental withholding rate.

2017 Form W-2 filing reminders — Forms 1099 now due by January 31

Employers with 25 or more calendar year 2017 Forms W-2 are required to electronically file Connecticut Form CT-W3, Connecticut Annual Reconciliation of Withholding, and the corresponding Forms W-2 by January 31, 2018 through the Department's electronic Taxpayer Service Center (TSC).

Note that the filing deadline for calendar year 2017 Forms 1099, whether filing electronically or on paper, is changed to January 31, 2018, according to the Form CT-1096 and Form 1099 electronic filing specifications.

Payers filing 25 or more Forms 1099 must electronically file the 2017 Form CT-1096, Connecticut Annual Summary and Transmittal of Information Returns, and corresponding Forms 1099.

The Department requires every state copy of the following:

— Federal Form W-2G for winnings paid to a Connecticut resident even if Connecticut income tax was not withheld.

—Federal Form 1099-MISC for:

a. Payments made to a Connecticut resident even if Connecticut income tax was not withheld

b. Payments made to a nonresident of Connecticut if the payments relate to services performed wholly or partly in Connecticut even if Connecticut income tax was not withheld

— Federal Form 1099-R only if Connecticut income tax was withheld.

Specifications for filing the 2017 Forms W-2 can be found here and for filing Forms 1099 electronically can be found here.

———————————————

———————————————
ATTACHMENT

EY Payroll News Flash