Connecticut General Statutes 12-202a – Tax on net direct subscriber charges of health care centers. Exceptions
(a) Each health care center, as defined in § 38a-175, that is governed by sections 38a-175 to 38a-194, inclusive, shall pay a tax to the Commissioner of Revenue Services for the calendar year commencing January 1, 1995, and annually thereafter on the total net direct subscriber charges received by such health care center during each such calendar year on any new or renewal contract or policy approved by the Insurance Commissioner under § 38a-183. The rate of tax on the total net direct subscriber charges received (1) prior to January 1, 2018, shall be one and three-quarters per cent, and (2) on or after January 1, 2018, shall be one and one-half per cent. Such payment shall be in addition to any other payment required under § 38a-48.
Terms Used In Connecticut General Statutes 12-202a
- commissioner: means the Commissioner of Revenue Services. See Connecticut General Statutes 12-201
- Contract: A legal written agreement that becomes binding when signed.
- Direct subscriber charges: means all charges made by a health care center, as defined in §. See Connecticut General Statutes 12-201
- Insurance Commissioner: means the state Insurance Commissioner. See Connecticut General Statutes 12-201
- Net direct subscriber charges: means direct subscriber charges less returned charges, including cancellations. See Connecticut General Statutes 12-201
- Received: means "received" or "accrued" construed according to the method of accounting customarily employed by the taxpayers. See Connecticut General Statutes 12-201
- State: means any state, territory or district of the United States. See Connecticut General Statutes 12-201
(b) Notwithstanding the provisions of subsection (a) of this section, the tax shall not apply to:
(1) Any new or renewal contract or policy entered into with the state on or after July 1, 1997, to provide health care coverage to state employees, retirees and their dependents;
(2) Any subscriber charges received from the federal government to provide coverage for Medicare patients;
(3) Any subscriber charges received under a contract or policy entered into with the state to provide health care coverage to Medicaid recipients which charges are attributable to a period on or after January 1, 1998;
(4) Any new or renewal contract or policy entered into with the state on or after April 1, 1998, to provide health care coverage to eligible beneficiaries under the HUSKY Health program, as defined in § 17b-290;
(5) Any new or renewal contract or policy entered into with the state on or after February 1, 2000, to provide health care coverage to retired teachers, spouses or surviving spouses covered by plans offered by the state teachers’ retirement system;
(6) Any new or renewal contract or policy entered into on or after July 1, 2001, to provide health care coverage to employees of a municipality and their dependents under a plan procured pursuant to § 5-259;
(7) Any new or renewal contract or policy entered into on or after July 1, 2001, to provide health care coverage to employees of nonprofit organizations and their dependents under a plan procured pursuant to § 5-259;
(8) Any new or renewal contract or policy entered into on or after July 1, 2003, to provide health care coverage to individuals eligible for a health coverage tax credit and their dependents under a plan procured pursuant to § 5-259;
(9) Any new or renewal contract or policy entered into on or after July 1, 2005, to provide health care coverage to employees of community action agencies and their dependents under a plan procured pursuant to § 5-259; or
(10) Any new or renewal contract or policy entered into on or after July 1, 2005, to provide health care coverage to retired members and their dependents under a plan procured pursuant to § 5-259.
(c) The provisions of this chapter pertaining to the filing of returns, declarations, installment payments, assessments and collection of taxes, penalties, administrative hearings and appeals imposed on domestic insurance companies shall apply with respect to the charge imposed under this section.