Effective Date: Upon issuance.
Payment by Member Insurers Required On or Before February 16, 2010: On or about December 30, 2009, CIGA mailed to member insurers an Assessment Statement with a December 22, 2009, Assessment Date (December 22, 2009, Assessment Statement) and refunded to its member insurers a portion of prior CIGA assessments made to meet CIGA’s obligations with respect to Abington Mutual Insurance Company and Reliance Insurance Company.
The prior CIGA assessment made to meet CIGA’s obligations with respect to Abington Mutual Insurance Company was payable by a member insurer during a calendar year beginning prior to January 1, 2000. For Connecticut insurance premiums tax purposes, CIGA assessments paid by a member insurer during calendar years beginning prior to January 1, 2000, were not permitted to be offset against the member insurer’s Connecticut insurance premiums tax liability. Therefore, no amount of the assessments shown on the December 22, 2009, Assessment Statement as refundable to the member insurer with respect to Abington Mutual Insurance Company is required to be paid to DRS.
In contrast, the prior CIGA assessment (December 28, 2001, Assessment Statement) made to meet CIGA’s obligations with respect to Reliance Insurance Company was payable by a member insurer during calendar year 2002. For Connecticut insurance premiums tax purposes, a CIGA assessment paid by a member insurer during calendar year 2002 was permitted to be offset against the member insurer’s 2003, 2004, 2005, 2006, and 2007 Connecticut insurance premiums tax liability (with 20% of the assessment permitted to be offset in each of those five calendar years). Each member insurer is now required to pay to DRS the amount of the refunded assessment entered in parentheses in the row for “Reliance Insurance Company” under the column headed “Amount Payable” on the December 22, 2009, Assessment Statement.
Payment Due Date: Payment is due to DRS on or before the 45th day after the date of mailing of the refunds. However, the 45th day (February 13, 2010) is a Saturday and the next succeeding day that is neither a Sunday or a legal holiday is Tuesday, February 16, 2010. Therefore, payment is due to DRS on or before Tuesday, February 16, 2010. If the amount that a member insurer is required to pay to DRS is not paid on or before February 16, 2010, interest will accrue on the amount not paid at the rate of 1% per month or fraction of a month from February 16, 2010, to the date of payment.
Make your check payable to Commissioner of Revenue Services. DRS may submit your check to your bank electronically.
To insure the proper crediting of your payment:
The member insurer’s Connecticut Tax Registration Number and “Refunded Assessment” must be written in the lower left hand corner of the check;
A copy of the member insurer’s December 22, 2009, Assessment Statement must be enclosed with the payment; and
Payment must be sent to:
Attn: Eloise Perry, Audit Division
Excise & Public Services Subdivision
Department of Revenue Services
State of Connecticut
25 Sigourney Street
Hartford Connecticut 06106-5032
If a member insurer did not offset any portion of an original assessment by CIGA with respect to Reliance Insurance Company (December 28, 2001 Assessment Statement) against its Connecticut insurance premiums tax liability for any calendar year, the member insurer must promptly advise DRS of this fact.
Effect on Other Documents: None affected.
Effect of This Document: Announcements alert taxpayers to new developments (other than newly enacted or amended Connecticut or federal laws or newly released judicial decisions), including new administrative positions, policies, or practices.
For Further Information: Call DRS during business hours, Monday through Friday:
1-800-382-9463 (Connecticut calls outside the Greater Hartford calling area only); or
860-297-5962 (from anywhere).
TTY, TDD, and Text Telephone users only may transmit inquiries anytime by calling 860-297-4911.
Forms and Publications: Visit the DRS website at www.ct.gov/DRS to download and print Connecticut tax forms and publications.
Business and individual taxpayers can use the Taxpayer Service Center (TSC) at www.ct.gov/TSC to file a variety of tax returns, update account information, and make payments online.
File Electronically: You can choose first-time filer information and filing assistance or log directly into the TSC to file returns and pay taxes.
Pay Electronically: You can pay taxes for tax returns that cannot be filed through the TSC. Log in and select the Make Payment Only option. Designate a payment date up to the due date of the tax and mail a paper return to complete the filing process.
DRS E-Alerts Service: Get connected to the latest news from DRS. Receive notification by email of changes to legislation, policies, and procedures. DRS E-Alerts provide information for employer’s withholding tax, News – Press Releases, and Top 100 Delinquency List. Visit the DRS website at www.ct.gov/DRS and select e-alerts from the left navigation bar.
Insurance Premiums Tax