Amending Connecticut State Tax

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ctca
Posts: 2
Joined: Mon Jan 25, 2016 10:13 am

Amending Connecticut State Tax

Post by ctca »

I amended US tax & filed fbar several years back though VD and eventually got re-routed to a non-will streamlined procedure for offshore filers. So, after mainly painful years my federal tax is closed without major penalty.

Part of the time I was a state of Connecticut or part resident and my federal taxes were adjusted to show some small tax owing due small amounts of unreported bank interest from Canadian banks.

I wanted to ask advice on how to handle the state tax. Specifically questions I have are:

1) Should I just file an amendment to State tax or use state VD? I guess I am asking does anyone know if State of CT has a decently run VD program?

2) Does state of CT have foreign disclosure requirement form of its own that I must file. Like a state version of FBAR?

3) Can state of CT fine for failure to file FBAR or other federal level disclosure forms? (I don't mean fine for unreported foreign income since it is obvious that that they can do that. I mean fine for not reporting the asset itself.)

4) How much information will IRS share with State of CT? Will they just share the adjustment to my income taxes or will they share the entire federal VD?

5) Related to 4, how detailed an explanation do I need to share with State of CT. Just explain the 2 years. Mentioned that I filed VD, but it was determined to be non-willful or include the 30 or so pages that I provided to IRS to establish non-willfulness? In other words, do I attach everything from IRS disclosure even though much of it involves years when I wasn't a state resident?

Grateful for any help or advice you may be able to provide.
nelsona
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Post by nelsona »

state taxes are out of scope here, I'm afraid.

I don't know of any state that has foreign reporting mechanisms. they rely on feds to collect this information.
but, anytime you amend a fed return you are required to amend the state one if necessary. the state can tell you the mechanics (time limit, method, interst and penalties, etc )
nelsona non grata. Non pro. Please Search previous posts, no situation is unique as you might think. Happy Browsing :D
ctca
Posts: 2
Joined: Mon Jan 25, 2016 10:13 am

Post by ctca »

Thank you -- I appreciate that keeping track of tax procedures for all 50 states on top of the enormously complicated federal tax would be quite a lot to ask.

One question that does involve IRS -- When some completes a VD or fast track with them, exactly what information do they share with the states?: the whole thing or just the form that tells how much the tax returns were amended? Do late FBAR filings get flagged for states? Do they flag that it was a VD?

By the way, does anyone have any suggestions of where I can post state tax questions?
nelsona
Posts: 18314
Joined: Wed Oct 27, 2004 2:33 pm
Location: Nowhere, man

Post by nelsona »

You can post questions about IRS and state on numerous websites. These are not really cross-border issues.

States are not interested in reporting lapses. they are interested in collecting income tax. The same diligence with IRS and a particular state ANYTIME a fed return is changed, for whatever reason, will be applied here.

These are administrative questions, best asked of the particular administration. I'm sure CT tax has a website.
nelsona non grata. Non pro. Please Search previous posts, no situation is unique as you might think. Happy Browsing :D
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