Form Ct 2210 – Fill Out and Use This PDF

Department of Revenue Services State of Connecticut

Form CT-2210

2007

Complete Form CT-2210 in blue or black ink only.

Purpose: Filers of Forms CT-1040, CT-1040NR/PY, and CT-1041 who underpaid their estimated Connecticut income tax may use this form to calculate the amount of interest due or to lower or eliminate interest that would otherwise apply.

When My Payments Are Due: In general, four equal installments of estimated tax are required on April 15, June 15, September 15, and January 15. Fiscal year filers should follow federal filing dates.

If the due date falls on a Saturday, Sunday, or legal holiday, the next business day is the due date.

Estates and certain trusts are required to make estimated income tax payments as stated above for any taxable year ending two or more years after the date of the decedent’s death. For additional information on when certain trusts are required to make estimated income tax payments, see I.R.C. §671 through 679.

My Taxes Are Underpaid: In general, if you do not make timely installments of your required annual payment and your Connecticut income tax (after tax credits) minus Connecticut income tax withheld is $1,000 or more, you will be charged interest on the underpaid amount.

Your required annual payment is the lesser of:

•90% of the income tax shown on your 2007 Connecticut income tax return; or

•100% of the income tax shown on your 2006 Connecticut income tax return, if you filed a 2006 income tax return that covered a 12-month period.

If either of the following applies to you, you are not underpaid and you should not file this form:

•The income tax shown on your 2007 Connecticut income tax return minus Connecticut tax withheld is less than $1,000; or

•You did not file a 2006 Connecticut income tax return because you did not have any Connecticut income tax liability and you were a resident, nonresident, or part-year resident in 2006 with Connecticut-source income.

Interest: You may be charged interest if you did not pay enough tax through withholding, estimated tax, or both, by any installment due date. This is true even if you are due a refund when you file your tax return. Interest is calculated separately for each installment. Therefore, you may owe interest for an earlier installment even if you paid enough tax later to make up the underpayment. Overpayment of any estimated tax will be credited against any future installment.

Interest on the underpayment of estimated income tax, at 1% per month or fraction of a month, will continue to accrue until the earlier of April 15, 2008, or the date on which the underpayment is paid.

A taxpayer who files his or her income tax return for the taxable year on or before January 31, 2008, and pays the total amount computed on the return as payable for the taxable year, does not have to pay the January 15, 2008, estimate and will not incur interest on the underpayment of estimated income tax for the fourth required installment. Do not complete Schedule B, Worksheet D.

Farmers or fishermen who file Forms CT-1040, CT-1040NR/PY, or CT-1041 for the taxable year on or before March 1, 2008, and pay the total amount computed on the return as payable for the taxable year, do not have to pay the January 15, 2008, estimate, which is the only estimate required, and will not incur interest on the underpayment of estimated income tax.

Special Rules for Farmers and Fishermen: If you are a farmer or fisherman, as defined in I.R.C. §6654(i)(2), your required annual payment is the lesser of:

•66 2/3% of the income tax shown on your 2007 Connecticut income tax return; or

•100% of the income tax shown on your 2006 Connecticut income tax return, if you filed a 2006 income tax return that covered a 12-month period.

Farmers and fishermen are required to make only one installment of estimated income tax for the taxable year. The due date for the installment is on or before January 15 of the following taxable year.

All farmers and fishermen who have checked Box D in Part I must complete and attach this form to their Connecticut income tax return to avoid being billed for interest on the underpayment of estimated income tax. Also check theboxforFormCT-2210onthefront ofFormCT-1040 orFormCT-1040NR/PY.

Name and Identifying Number

Individuals - Enter in the space provided at the top of the form your name and Social Security Number (SSN) as it appears on your Connecticut income tax return. If you filed a joint return, also enter your spouse’s name and SSN.

Trusts and Estates - Enter the name of the trust or estate and the name of the fiduciary as it appears on Form CT-1041 inthespaceprovidedatthetopofthe form. AlsoentertheFederalEmployerIdentificationNumberofthetrustorestate.

Any reference in this document to a spouse also refers to a party to a civil union recognized under Connecticut law.

Part I - Reasons for Filing

Complete Part I only if one of the following boxes applies to you. By checking the box that applies to you, you may be able to reduce or eliminate interest charges that would otherwise accrue if we calculated the interest for you under the normal requirements for making estimated tax payments. If you checked any of the boxes in Part I, also be sure to check the box for Form CT-2210 on the front page of your Form CT-1040, Form CT-1041, or Form CT-1040NR/PY.

Box A - Check this box if you are using the annualized income installment method. If your income fluctuated during the year, this method may reduce or eliminate the amount of one or more required quarterly payments. See instructions for Schedule A.

Box B - Check this box if your estimated tax payments were based on the tax shown on your 2006 Connecticut income tax return and your filing status changed from last year. See Changes in Filing Status in Part II, Line 5, below.

Box C - Check this box if you want income tax withheld in 2007 to be applied when it was actually withheld rather than in four equal installments. See instructions for Part III, Line 11 and Line 13.

Box D - Check this box if you are a farmer or fisherman and:

•You are required to make only one installment of estimated Connecticut income tax; or

•You have filed your tax return for the taxable year on or before March 1, 2008, and have paid the amount computed on the return as payable for the taxable year.

If you have filed your return for the taxable year and paid the amount computed as payable on or before March 1, 2008, and therefore are not required to make an estimated income tax payment, you must check Form CT-2210, Part I, Box D. Stop there and do not complete Part II or Part III. Attach Form CT-2210 to your income tax return and check the box for Form CT-2210 on the front of Form CT-1040, Form CT-1041, or Form CT-1040NR/PY.

If you are required to make an estimated income tax payment, it is due on or before January 15, 2008. The installment is the lesser of 66 2/3% of the income tax shown on your 2007 Connecticut income tax return or 100% of the income tax shown on your 2006 Connecticut income tax return. See the instructions for Part III, Line 8.

Box E - Check this box if you cannot use your 2006 Connecticut income tax as a basis for your required annual payment.

You may only use your 2006 Connecticut income tax if:

•You filed a 2006 Connecticut income tax return that covered a 12-month period; or

•During the 2006 taxable year, you were a resident, part-year resident, or nonresident with Connecticut source income and you did not file a 2006 Connecticut income tax return because you did not have a Connecticut income tax liability. See Part II, Line 5, for instructions on calculating your required annual payment.

If you do not meet one of the above conditions, your required annual payment must be 90% of the income tax shown on your 2007 Connecticut income tax return.

Part II - Required Annual Payment

Line 1: Enter the amount of income tax shown on your 2007 Connecticut income tax return (Form CT-1040EZ, Line 6; Form CT-1040, Line 14; Form CT-1040NR/PY, Line 16; or Form CT-1041, Line 9). Do not subtract estimated payments or Connecticut tax withheld in 2007.

Line 2: Farmers and fishermen multiply Line 1 by 66 2/3% (.6667).

Line 3: Enter Connecticut income tax withheld in 2007. Do not enter any estimated tax payments or taxes withheld for the IRS or other jurisdictions.

Line 5: If your filing status was the same on your 2006 and 2007 Connecticut income tax returns and your 2006 Connecticut income tax return covered a 12-month period, enter 100% of the income tax shown on your 2006 Connecticut income tax return (Form CT-1040EZ, Line 6; Form CT-1040, Line 14; or Form CT-1040NR/PY, Line 16.)

Enter “0” if you did not file a 2006 Connecticut income tax return because you did not have a Connecticut income tax liability and you were a resident, nonresident, or part-year resident in 2006 with Connecticut-source income.

If you were a nonresident or part-year resident and you did not have Connecticut source income in 2006, leave Line 5 blank and enter 90% of the income tax shown on your 2007 Connecticut income tax return as the required annual payment on Line 6.

Changes in Filing Status From 2006 to 2007: If you are filing a joint Connecticut return for 2007 but filed separate Connecticut returns for 2006 as single, married filing separately, or head of household, you must combine your 2006 separate tax liabilities to determine your combined 2006 income tax. If either you or your spouse did not file a 2006 Connecticut income tax return, see the instructions for Part I, Box E, to determine if you can use the prior year’s tax as the basis for your required annual payment.

If you are filing separate Connecticut returns for 2007 but filed a joint Connecticut return for 2006, you must determine your share of the 2006 tax (Form CT-1040EZ, Line 6; Form CT-1040, Line 14; or Form CT-1040NR/PY, Line 16). First calculate the 2006 tax both you and your spouse would have paid had you filed separate Connecticut returns for 2006 as married persons filing separately. Then complete the following calculation:

Your separate 2006 tax liability

Both spouses’ separate 2006 tax liabilities x Your 2006 joint tax liability

Part III - Calculate Your Underpayment and Interest

Line 8: If you are using the annualized income installment method, skip Line 8 and Line 9 and go on to Line 10. Be sure you also check Part I, Box A.

If you checked Part I, Box D, because you are a farmer or fisherman and you have made only one installment of estimated income tax, complete Column D only.

Line 10: If you checked Part I, Box A, because you are using the annualized income installment method, enter the amounts from Schedule A, Lines 22 through 25, in the appropriate columns. Attach Schedule A to Form CT-2210 and also include your computations of your Connecticut adjusted gross income for each period.

Line 11: Enter the total amount of Connecticut income tax withheld in 2007 in Columns A, B, C, and D. Do not enter estimated tax payments or taxes withheld for the Internal Revenue Service (IRS) or other jurisdictions.

Example: If your total 2007 Connecticut income tax withheld was $1,300, enter $1,300 in Columns A, B, C, and D.

If you want Connecticut income tax withholding to apply when it was actually withheld, skip Line 11 and Line 12 and go on to Line 13. Be sure you also check Part I, Box C.

Line 13: If you want Connecticut income tax withholding to apply when it was actually withheld, enter the actual cumulative withholding amounts on Line 13.

Example: If $600 was withheld in March, $200 in May, $200 in August, and $300 in November, enter $600 in Column A, $800 in Column B, $1,000 in Column C, and $1,300 in Column D.

Line 15: Enter in the appropriate columns all timely installment payments you made. Timely installment payments are all payments (other than any tax withheld) made on or before the due date including any previous installment payments.

Example: If estimated Connecticut income tax payments of $100 each were made on April 15, 2007, June 15, 2007, September 15, 2007, and January 15, 2008, enter $100 in Column A, $200 in Column B, $300 in Column C, and $400 in Column D.

Schedule A

Annualized Income Installment General Instructions

You may benefit from using the annualized income installment method if your income varied throughout the year because you earned more money later in the year than you did in the early part of the year, such as from lottery winnings, investment income, or self-employment income.

By using this method, you may be able to reduce or eliminate the amount of one or more required installments.

For information on filing estimated tax payments using the annualized income installment method, see Informational Publication 2006(25), A Guide to Calculating Your Annualized Estimated Income Tax Installments and Worksheet CT-1040AES. This publication is available from the DRS website at www.ct.gov/DRS or call the DRS Forms Unit at 1-800-382-9463 (Connecticut calls outside the Greater Hartford calling area) and select Option 2 from a touch-tone phone or 860-297-4753 (from anywhere).

If you use the annualized income installment method for any installment due date, you must use this method for all installment due dates. Form CT-2210, Schedule A, automatically selects the smaller of the annualized income installment or regular installment increased by the amount saved by using the annualized income installment method in computing earlier installments.

If you use the annualized income installment method, you are required to complete all of the following steps:

1. Check BoxAon Form CT-2210, Part I;

2Enter the amounts from Schedule A, Lines 22 through 25 in the appropriate columns on Form CT-2210, Part III, Line 10;

3.Attach Form CT-2210 and Schedule A to your return;

4.Attach your calculations of your Connecticut adjusted gross income for each period; and

5.Check the box for Form CT-2210 on the front of your Connecticut income tax return.

Line Instructions

Line 1: Attach a schedule showing how you computed your Connecticut adjusted gross income for each period.

Trusts and estates must enter their Connecticut taxable income and use the following period ending dates: 2-28-2007, 4-30-2007, 7-31-2007, and 11-30-2007.

Line 2: Trusts and estates do not use the amounts shown in Columns (a) through (d). Instead, use 6, 3, 1.71429, and 1.09091, as the annualization amounts.

Line 4: Resident individuals must compute the tax on the amount shown on Line 3 using the Tax Tables or the Tax Calculation Schedule. Resident trusts and estates must multiply Line 3 by 5% (.05).

Nonresidents and part-year resident individuals must use the schedules and worksheets for Form CT-1040NR/PY to determine Connecticut-source income. Nonresident trusts and estates and part-year resident trusts must use the schedules and worksheets for Form CT-1041 to determine Connecticut source income. To calculate the tax, complete the worksheet below for each column:

a. Annualized income from Line 3 of this schedule
b. Annualized Connecticut source income
c. Enter the greater of Line a or Line b.
d. Enter the tax due on Line c using the Tax Tables or the
Tax Calculation Schedule.
Trusts and estates: Multiply Line c by 5% (.05).
e. Divide Connecticut source income for the period by
Connecticut adjusted gross income (Connecticuttaxable
income for trusts and estates) for the period. This is your
allocated Connecticut income tax percentage. If Line b
is greater than Line a, enter 1.0000.	•
f. Multiply Line d by Line e.
Enter here and on Schedule A, Line 4.

Line 5: The credit for tax paid to a qualifying jurisdiction is based wholly or partly on the annualized income for each period.

Line 7: You must annualize your adjusted federal alternative minimum taxable income using the annualization amounts on Line 2. Use Form CT-6251 as a guide.

Line 9: Resident Individuals - Enter the credit for property taxes paid on your primary residence, motor vehicle, or both, as calculated on your 2007 Form CT-1040, Schedule 3.

The credit may not exceed $500 and may be further reduced. Refer to Form CT-1040, Schedule 3, and instructions when calculating the credit.

Line 11: The adjusted net Connecticut minimum tax credit is based wholly or partly on the annualized income for each period.

Lines 15 through 25: You must complete Lines 15 through 25 in one column before continuing to the next column.

Schedule B

Interest Calculation

General Instructions

Complete a separate worksheet for each underpayment shown on Form CT-2210, Part III, Line 16.

Example: If the underpayment is shown in Part III, Line 16, Column A, complete Worksheet A. If no underpayment is shown in Part III, Line 16, Column B, but an underpayment is shown in Part III, Line 16, Column C, skip Worksheet B and complete Worksheet C.

Interest at 1% per month or fraction of a month will continue to accrue until the earlier of April 15, 2008, or the date on which the underpayment is paid. A month is measured from the sixteenth day of the first month to the fifteenth day of the next month. Any fraction of a month is considered a whole month.

Line Instructions

Before calculating your interest, list all estimated payments and Connecticut tax withholding for 2007 on a separate sheet of paper. For Connecticut income tax withheld, you are considered to have paid 25% of this amount on each payment due date (4/15, 6/15, 9/15, and 1/15) unless you can show otherwise.

Worksheet A

Line a: Enter in Column 2 the underpayment shown on Form CT-2210, Part III, Line 16.

Multiply Column 2 by Column 3 and enter the result in Column 4.

Line b: Enter in Column 2 the amount paid during the period listed in Column 1. If multiple payments were made during the period listed, combine those payments and enter the total.

Line c: Subtract Line b from Line a in Column 2. Enter the result on Line c, Column 2. Multiply Column 2 by Column 3 and enter the result in Column 4.

Line d: Follow the instructions for Line b above.

Line e: Add all amounts in Column 4. Enter the total on Form CT-2210, Part III, Line 17, Column A.

Worksheets B and D

Lines a through d: Follow the instructions for these lines on Worksheet A above.

Line e: Subtract Line d from Line c in Column 2. Enter the result on Line e, Column 2. Multiply Column 2 by Column 3 and enter the result in Column 4.

Line f: Enter in Column 2 the amount paid during the period listed in Column 1. If multiple payments were made during the period listed, combine those payments and enter the total.

Line g: Add all amounts in Column 4. Enter the total on Form CT-2210, Part III, Line 17, Column B, or Part III, Line 17, Column D.

Worksheet C

Lines a through f: Follow the instructions for these lines on Worksheets B and D above.

Line g: Subtract Line f from Line e in Column 2. Enter the result on Line g, Column 2. Multiply Column 2 by Column 3 and enter the result in Column 4.

Line h: Enter in Column 2 the amount paid during the period listed in Column 1. If multiple payments were made during the period listed, combine those payments and enter the total.