Connecticut State Department of Revenue Services

Health Care Center Tax Information

What's New

Establishment of a Connecticut Higher Education Trust (CHET) Contribution Tax Credit: Legislation establishes a credit for contributions employers make to a qualifying employee’s CHET account.  The credit, which can be claimed against the tax imposed under chapters 207, 208 or 229 (other than the liability imposed by Conn. Gen. Stat. § 12-707), is equal to twenty-five per cent (25%) of the employer’s contribution and is capped at $500 per employee per income or taxable year. The legislation is effective July 1, 2025, and applicable to income and taxable years commencing on or after January 1, 2025.

Establishment of a Tax Credit administered by the University of Connecticut (UConn): Legislation authorizes UConn to set up and administer a tax credit incentive program to promote and publicly recognize the university and its programs, services, and mission.  The credit is based upon payments made by a taxpayer in a taxable or an income year pursuant to a “qualified agreement.” The credit is equal to fifty per cent (50%) of the payments made under such an agreement and shall not exceed five hundred thousand dollars for any taxpayer for any taxable or income year. The aggregate amount of the credits allowed under this section shall not exceed five million dollars in any calendar year. The credit can be claimed against the tax imposed under chapters 207, 208, 209, 210, 211, 212, 228z or 229 (other than the liability imposed by Conn. Gen. Stat. § 12-707) and unused amounts may be carried forward for fifteen (15) years until they are fully taken. Note: This credit is not subject to provisions of Conn. Gen. Stat. § 12-217zz, which place limits on the use of tax credits.  The legislation is effective upon passage and applicable to income and taxable years commencing on or after January 1, 2025. 

Amendment to “JobsCT” Tax Credit: Legislation amended Conn. Gen. Stat. § 32-7t so as to allow the Commissioner of the Department of Economic and Community Development to give preference to applications submitted thereunder that make significant investments in environmentally sustainable practices, are in certain environment-related economic sectors, or are for farming operations that are climate sustainable. The legislation is effective July 1, 2025.

Who Must File a Health Care Center Tax Return

Each health care center, as defined in Conn. Gen. Stat. § 38a-175, that is governed by Conn. Gen. Stat. §§ 38a-175 to 38a-194, inclusive, shall pay a tax to the Commissioner of Revenue Services on the total net direct subscriber charges received by such health care center during each such calendar year on any new or renewal contract or policy approved by the Insurance Commissioner under Conn. Gen. Stat. § 38a-183.

When to File (Tax Due Dates and Extensions)

Form 207 HCC, Connecticut Health Care Center Tax Return is due on or before March 1 of the succeeding calendar year for health care center tax liability for the preceding calendar year.

To request additional time to file a Connecticut Health Care Center tax return, see Form 207 HCC EXT, Application for Extension of Time to File Connecticut Health Care Center Tax Return.

How to File

File and pay Form 207 HCC electronically using myconneCT. For more information visit Filing and Paying Connecticut Taxes Electronically.

Click here to File, Pay, or Register Now on myconneCT!

Electronic Payment Options 

Visit myconneCT to make an electronic payment. After logging in to myconneCT, find your tax account on the Summary screen, select the Make a Payment link and choose your payment method.

  • Pay by ACH Debit/Direct Payment: Using this option authorizes DRS to electronically withdraw a payment from your bank account (checking or savings) on a date you select up to the due date.
  • Pay by Credit Card or Debit Card: You may elect to pay your tax liability using a credit card (American Express®, Discover®, Master Card®, Visa®) or comparable debit card. A convenience fee will be charged by the credit card service provider. You will be informed of the amount of the fee and may elect to cancel the transaction. Your payment will be effective on the date that you make the charge.

At the end of the transaction, you will receive a confirmation number for your records. As a reminder, even if you pay electronically, you must still file your return by the due date. Tax not paid on or before the due date will be subject to penalty and interest.

ACH Credit

ACH credit method users should consult with their banking institution for guidelines to ensure that payment is received timely. (Taxpayers must pre‑register with the DRS Electronic Commerce Unit (ECU) prior to using this option). The taxpayer initiates an electronic payment through their banking institution. This payment must be sent in the ACH standard CCD+TXP format. For more information visit Filing and Paying Connecticut Taxes Electronically.

Estimated Tax Payments

Each health care center whose health care center tax, after the application of guaranty association assessment offsets and general business tax credits, for the calendar year will be $1,000 or more must make estimated payments equaling 100% of the previous year's tax liability or 90% of the current year's premium tax.  To file and pay estimated taxes electronically, visit myconneCT.

  • 90% of the tax shown on its current year Form 207 HCC after the application of guaranty association assessment offsets and general business tax credits; or
  • 100% of the tax shown on its prior year Form 207 HCC, Line 17

If a payment due with these coupons is not made on or before the due date of the coupon, interest will accrue at the rate of 1% per month or fraction of a month on the amount not paid from the due date of the coupon until the date of payment.

If the due date falls on a Saturday, Sunday, or legal holiday, the return is considered timely if filed on the next business day.

Please note that each coupon is year specific. To prevent any delay in processing your return, the correct year’s coupon must be submitted to the Department of Revenue Services (DRS).

 Estimated Tax Payments
 Estimated Tax Due Dates Required Payments Amounts
The estimated for the income year
First  ESA - Fifteenth day of the third month of the income year 30% of your required annual payment
Second  ESB - Fifteenth day of the sixth month of the income year 30% of your required annual payment (A total of 60% of your required annual payment should be paid by this date.) 
Third  ESC - Fifteenth day of the ninth month of the income year 20% of your required annual payment (A total of 80% of your required annual payment should be paid by this date.)
Fourth  ESD - Fifteenth day of the twelfth month of the income year 20% of your required annual payment (A total of 100% of your required annual payment should be paid by this date.)
 

Interest and Penalties

In general, interest and penalty apply to any portion of the tax not paid on or before the original due date of the return.

Interest

Interest for late payment is 1% per month or fraction of a month from the due date.

Penalty for Late Payment

Penalty for late payment is 10% of the tax due or $50, whichever is greater.

Page Last Reviewed or Updated: 15-Dec-2025