Connecticut State Department of Revenue Services

NOTICE: Taxpayers are strongly encouraged to visit the DRS website for answers to many questions. You may also email DRS at drs@po.state.ct.us. If contacting DRS by phone, please plan for wait times that may be longer than usual. See DRS FAQ's, which now include important information regarding Connecticut sales tax. Frequently Asked Questions

Connecticut Source Income of Partnership- Nexus

Income derived from or connected with Connecticut sources includes income, gain, loss, or deduction attributable to:

  • The ownership or disposition of any interest in real property or tangible personal property located in Connecticut;

  • The ownership of any intangible personal property to the extent it is used in a business, trade, profession, or occupation carried on in Connecticut; or

  • A business, trade, profession, or occupation carried on in Connecticut.

A partnership has income, gain, loss, or deduction from sources in Connecticut if it is a partner in a partnership which itself has income, gain, loss, or deduction derived from Connecticut sources. This flow-through of income, gain, loss, or deduction extends through all layers of partnerships.

A partnership carries on a business, trade, profession, or occupation within Connecticut if:

  • It has or operates an office, shop, store, warehouse, factory, agency, desk space, or other place in Connecticut where its affairs are systematically and regularly carried on; or

  • Activities in connection with the business are conducted in Connecticut with a fair measure of permanency and continuity for livelihood or profit, as distinguished from isolated or incidental transactions.