Business Entity Tax Information
What is the Business Entity Tax (BET)?
My business in inactive, unprofitable or is no longer transacting business in Connecticut. What should I do?
Related information for Business Entities
1. What is the Business Entity Tax? The Business Entity Tax (BET) is a tax payable biennially by a business entity. The amount of the BET is $250.
For tax years beginning on or after January 1, 2013, the business entity tax is due every other year. For a calendar year filer, the filing periods will be as follows:
BIENNIAL PERIOD (2-Year Period) BET DUE DATE AMOUNT DUE:
Beginning 1/1/2013 – Ending 12/31/2014 April 15, 2015 $250
Beginning 1/1/2015 – Ending 12/31/2016 April 15, 2017 $250
2. How to Register with DRS: All business entities subject to the Business Entity Tax must be registered with DRS. If you are forming a new entity that is subject to the Business Entity Tax, please visit our Registration Page for information on the three options available to register with DRS.
3. How to File and Pay the BET: There are three ways to file Form OP-424, Business Entity Tax Return:
- File electronically. Use the TSC-BUS. By using our free, fast, simple and secure Internet filing system, you can be sure that your return and payment are received by DRS. You can print out a copy with a confirmation number for your records.
- Use the preprinted Form OP-424 that we mail to you each year. The preprinted information on the form will ensure that the return and payment are applied correctly to your account.
- Download Form OP-424. Be sure to accurately enter the entity's Connecticut Tax Registration Number, Federal Employer Identification Number (if one has been issued for the entity), Secretary of State ID Number (if available), and the complete name and address of the entity.
We recommend that you use the TSC-BUS to file your return to ensure that the payment is credited properly to your account.
File electronically. Use the TSC-BUS.
If the business entity is a domestic entity and is no longer active, you must contact the Connecticut Secretary of the State to dissolve the entity. A domestic business entity is subject to the tax for the year in which it forms and for all years that it remains registered with the Secretary of the State, including the year that it dissolves. Similarly, a foreign entity that is inactive, unprofitable, or no longer conducting business in Connecticut will remain liable for the BET for each year or part of the taxable year it is authorized to transact business in Connecticut as shown by the records of the Secretary of the State. A foreign business entity’s authority to transact business in Connecticut is terminated by filing the documents evidencing the cancellation of its certificate of authority with the Secretary of the State.
The BET is not prorated if the business entity’s taxable year is a short year.