The Connecticut Department of Revenue Services (DRS) has published IP 2018(12): Forms 1099-R, 1099-MISC, 1099-K, and W-2G Electronic Filing Requirements for Tax Year 2018. There are several changes to these specifications:
- This publication now applies to all 1099-K filings – the due date for these filings is no later than 30 days after filing them with the IRS
- Form W-2G filing requirements were clarified to include the following: (1) Connecticut Lottery Winnings paid to resident and nonresident individuals even if no Connecticut income tax was withheld; and (2) other gambling winnings paid to Connecticut resident individuals even if no Connecticut income tax was withheld.
- Form 1099-R filing requirements have changed: Connecticut now requires all Forms 1099-R showing payments to Connecticut residents, even if no Connecticut income tax was withheld. For all other recipients, the 1099-R is only required if Connecticut income tax was withheld.
- New Form 1099-K reporting requirement: Report payments to payees located within or with locations in Connecticut.
- Failure to file the state copy of Form 1099-K with Connecticut will result in a civil penalty of $50 for the first month for each 1099-K not filed, plus $50 for each month, or fraction thereof, for which such failure continues. The total penalty will not exceed $250,000 per year.
- There are technical changes to the Payee “B” Record for Form 1099-R:
- New field position 663-670: Date of Payment (Format: YYYYMMDD)
- New field position 671-722: Special Data Entries (Enter payer Connecticut Tax Registration Number. Right justify and fill unused positions with zeros)
