Requirements to Withhold Connecticut Income Tax: If you maintain an office or transact business in Connecticut and you are considered an employer for federal withholding purposes, you must withhold Connecticut income tax whether or not your payroll department is located in Connecticut. Special rules apply to payers of nonpayroll amounts and payers of compensation to professional athletes and entertainers.

Registering to Withhold Income Tax: If you are required to withhold Connecticut income tax, you must register for withholding tax with DRS.

• If your business is already registered with DRS for other state taxes use myconneCT to register for withholding as an additional tax.
• If you are an employer starting a new business, and you are not already registered with the Department of Revenue Services (DRS) you must register for Connecticut income tax withholding. Visit myconneCT to register your business for withholding tax.

IMPORTANT: Employers are also required to register with the Connecticut Department of Labor for unemployment taxes. Please telephone that agency at 860-263-6000 or visit that the DOL website.