Tobacco Products Tax Information
- Who Must Complete a Registration Application and File a Tobacco Products Tax Return
- When to File
- Where to File
- Electronic Payment Options
- Amended Returns
- Interest and Penalties
- Tax Calculation
Who Must Complete a Registration Application and File a Tobacco Products Tax Return
Any person engaged in the business of manufacturing tobacco products or in the business of selling tobacco products, whether at wholesale or retail in the State of Connecticut must register and file for Tobacco Products Taxes.
Businesses must file Form OP-300, Tobacco Products Tax Return for each calendar month by the twenty-fifth day of the following month.
Businesses required to file for the Tobacco Products tax may file online through myconneCT or by mail.
Use myconneCT to file taxes, make payments, view filing history, and communicate with the agency simply and more efficiently on virtually any mobile device, including laptops, tablets, and smartphones, 24 hours a day, 7 days a week.
Click here to File, Pay, or Register Now on myconneCT!
Tobacco Products Tax payments (e.g., return payments) can be made electronically.
DRS myconneCT
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 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. The convenience fee is generally 2.35% of the payment amount, with a minimum charge of $3.95. 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 detailed information and a list of FAQs, review Informational Publication 2021(5), Filing and Paying Connecticut Taxes Electronically.
Pay by mail
Tobacco Products Tax payments (e.g., return payments) can be made by mail. If you pay by mail, make check payable to: Commissioner of Revenue Services. DRS may submit your check to your bank electronically.
To file an amended Form OP-300, Tobacco Products Tax Return, check the amended box on the paper return or amend online through myconneCT.
Generally, an amended tax return must be filed within three years of the due date of the original return or, if an extension of time was granted, three years from the extended due date.
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
If the business does not pay the tax when due, it will owe interest at the rate of 1% per month or fraction of a month until the tax is paid in full.
Penalty for Late Payment or Late Filing
The penalty for late payment or underpayment of Tobacco Products Tax is 10% of the tax due or $50, whichever is greater.
If no tax is due, DRS may impose a $50 penalty for the late filing of any return or report required by law to be filed.
Penalty for Willful Failure to File or Pay
Anyone who willfully fails to pay the tax or file a return will be fined up to $1,000 or imprisoned up to one year, or both, in addition to any other penalty.
Penalty for Willful Filing of a Fraudulent or Materially False Return
If you willfully file a tax return you know to be fraudulent or false in any material matter, you may be fined up to $5,000 or imprisoned from one to five years, or both.
Penalty for Failure to Disclose Listed Transaction
A penalty of 75% of the amount of the deficiency may be imposed when it appears that any part of the deficiency is due to failure to disclose a listed transaction, as defined in IRC § 6707A.
Tax Rate and Base. The state imposes a tax on all non-cigarette tobacco products in the state, including cigars, stogies, snuff, pipe, and chewing tobacco. The tax is levied on licensed distributors and unclassified importers when the tobacco products are manufactured, imported, or purchased. As with the cigarette tax, the tobacco products tax is ultimately passed through to retail customers as part of the price of each tobacco product. The tax rate differs according to the type of tobacco product. Tobacco products, other than snuff tobacco, are taxed at 50% of their wholesale price. Snuff tobacco is taxed at a rate of $3 per ounce. The tax on cigars is capped at 50 cents (CGS § 12-330c). As with the cigarette tax, the tobacco products tax is reduced by 50% for modified risk tobacco products.