Conn. Agencies Regs. § 12-700(c)-2 - Part-year resident trusts
(a) Where the
resident status of a trust is changed from resident to nonresident or from
nonresident to resident (see §
12-701(a)(6)-1
of this Part), its tentative Connecticut income tax is computed in the same
manner as a resident trust, except that, if the trust is required to accrue
items under Section
12-717(c)(1)
or (2) of the general statutes, those items,
in accordance with this section, are added to or subtracted from, as the case
may be, its Connecticut taxable income before the computation of its tentative
Connecticut income tax liability as if it were a resident trust. Thus, the
modification to federal taxable income that are made by a resident trust in
determining Connecticut taxable income are also made by a part-year resident
trust, but the Connecticut taxable income of a part-year resident trust (1) the
resident status of which has changed from resident to nonresident is increased
or decreased, as the case may be, by the items accrued under Section
12-717(c)(1) of the general statutes, to the extent not
otherwise includible in Connecticut taxable income for the taxable year and (2)
the resident status of which has changed from nonresident to resident is
decreased or increased, as the case may be, by the items accrued under Section
12-717(c)(2)
of the general statutes, to the extent included in Connecticut taxable income
for the taxable year. Then, after Connecticut taxable income is so increased or
decreased, the tax rate is applied, resulting in a tentative tax. The tentative
tax is then multiplied by a fraction, the numerator of which is the part-year
resident trust's Connecticut taxable income derived from or connected with
sources within this state (see §
12-727(b)-1
of this Part) and the denominator of which is such trust's Connecticut taxable
income from all sources, as increased or decreased under this
subsection.
(b) In cases where a
part-year resident trust's Connecticut taxable income from sources everywhere,
as increased or decreased under subsection (a) of this section, is less than
its Connecticut taxable income derived from or connected with sources within
this state, the part-year resident trust's income tax liability is based on its
Connecticut taxable income derived from or connected with sources within
Connecticut.
(c) While this section
pertains to Section
12-700(c)
of the general statutes, for purposes of supplementary interpretation, as the
phrase is used in Section
12-2
of the general statutes, the adoption of this section is authorized by Section
12-740(a)
of the general statutes.
Notes
State regulations are updated quarterly; we currently have two versions available. Below is a comparison between our most recent version and the prior quarterly release. More comparison features will be added as we have more versions to compare.
No prior version found.