Connecticut – State Hunting Down Online Shoppers Who Didn’t Pay Sales Tax

Hartford Courant
by Russell Blair
February 15, 2018

The state Department of Revenue Services is combing through customer records from major online retailers to hunt down taxpayers who skipped out on the often-ignored use tax.

Kevin Sullivan, commissioner of the tax department, said it’s part of an effort to ramp-up collection of the use tax; Connecticut taxpayers are supposed to pay the state a 6.35 percent tax on any purchases made out-of-state or online where no sales tax is paid, but the vast majority do not.

“Usually we don’t have the data, but in several cases companies have said … we’ll squeal on our customers and you can beat up on them,” Sullivan said. “The people who sold to them have ratted them out.”

A tax expert in Washington, D.C., said Connecticut is the first state to take this approach: requesting data from retailers about online purchases by state residents that were not subject to sales tax and checking to see if the customers made required tax payments.

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Hartford Courant

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