Connecticut charges a flat 6.35% statewide sales tax with no local add-ons, administered by the Connecticut Department of Revenue Services (DRS). Remote and multistate sellers get Connecticut wrong because its economic nexus rule is an AND test, not the usual OR. This guide gives you the correct rates, rules, thresholds, and penalties, each sourced to primary law and DRS. Read the DRS Sales and Use Tax information page and estimate any rate with the Commenda sales tax calculator.
What Is the Connecticut Sales Tax Rate in 2026?
Connecticut’s sales tax rate is 6.35% statewide on retail sales of most tangible personal property (TPP) and enumerated taxable services, per the DRS Tax Rates page. The consumer pays the tax; the retailer collects it and remits it to DRS. Several categories carry a higher or lower rate, from 1% on business computer services to 15% on hotel occupancy.
| Rate | Applies to | Source |
|---|---|---|
| 6.35% | General rate, most goods and taxable services | DRS Tax Rates |
| 7.35% | Meals and beverages sold by eating establishments, including alcoholic beverages served there | Conn. Gen. Stat. § 12-408; DRS |
| 7.75% | Luxury rate: motor vehicles over $50,000, jewelry over $5,000, and clothing, footwear, handbags, luggage, wallets, and watches over $1,000 | Conn. Gen. Stat. § 12-408; DRS |
| 9.35% | Rental of a passenger motor vehicle for 30 consecutive days or less | DRS Tax Rates |
| 15% | Room occupancy at hotels, motels, and lodging houses | DRS Room Occupancy Tax |
| 11% | Room occupancy at bed and breakfast establishments | DRS Room Occupancy Tax |
| 1% | Computer and data processing services, including business-use software as a service (SaaS) | Conn. Gen. Stat. § 12-408; DRS SN 2019(8) |
Does Connecticut Have Local Sales Taxes?
No. Connecticut does not allow cities, towns, or counties to add any local sales tax, per DRS. The 6.35% rate is identical in Hartford, New Haven, Stamford, Bridgeport, and everywhere else in the state. With one statewide rate and no local jurisdictions, in-state rate sourcing never changes the rate a buyer pays.
What Goods and Services Are Taxable in Connecticut?
Most tangible personal property is taxable unless specifically exempted, and Connecticut taxes an unusually broad list of enumerated services. Personal-use SaaS is taxed at 6.35% as a digital good, while SaaS and canned software for business use is taxed at 1%, per DRS Special Notice 2019(8).pdf), effective October 1, 2019.
Commonly taxed services include:
- Telecommunications services
- Certain installation, repair, and maintenance services
- Landscaping and horticulture services
- Janitorial services
- Employment agency and business analysis services
- Prewritten (canned) software, digital goods, and SaaS
The full enumerated list is long, so use the DRS Services Subject to Sales and Use Tax guidance for edge cases rather than relying on memory.
What Is Exempt From Connecticut Sales Tax?
Connecticut exempts food products for home consumption, prescription and nonprescription drugs, certain medical equipment such as oxygen, prosthetics, and wheelchairs, machinery used directly in manufacturing with a certificate, and purchases for resale with a valid resale certificate, all under Conn. Gen. Stat. § 12-412. Clothing is not exempt; the under-$50 clothing exemption was repealed in 2011.
Connecticut holds an annual Sales Tax Free Week each August that exempts clothing and footwear priced under $100, per DRS, which also flags 2026 expansion legislation and PS 2026-1 exempting nonelectronic school supplies. Nonprofits and resellers must keep valid exemption or resale certificates on file to document any exempt sale.
What Is Connecticut’s Economic Nexus Threshold?
A remote seller has Connecticut economic nexus only when it has BOTH $100,000 in gross receipts AND 200 or more retail sales into the state during the 12-month period ending September 30, per Conn. Gen. Stat. § 12-407. Meeting one threshold alone does not create nexus. Connecticut uses an AND test, not the common OR test.
The rule took effect December 1, 2018, after the South Dakota v. Wayfair decision, and the threshold was lowered from $250,000 to $100,000 effective July 1, 2019, per Conn. Gen. Stat. chapter 219. Monitor exposure with the Commenda US nexus guide and the Connecticut per-state sales tax guide.
What Creates Physical Nexus in Connecticut?
Any physical presence in Connecticut creates nexus and requires sales tax collection regardless of sales volume. That includes an office, store, or warehouse, employees or agents working in the state, delivery in company vehicles, and inventory stored in Connecticut. Stored inventory covers stock held in Amazon Fulfillment by Amazon (FBA) or third-party logistics (3PL) warehouses.
Do Marketplace Facilitators Collect Connecticut Sales Tax?
Yes. Under Conn. Gen. Stat. § 12-408e, effective December 1, 2018, a marketplace facilitator that facilitates at least $250,000 in Connecticut retail sales during the prior 12-month period must collect and remit tax on all facilitated sales. When Amazon or Etsy collects, the seller is relieved of collecting on those marketplace sales.
Sales through the seller’s own website remain the seller’s responsibility. A seller with physical nexus, for example FBA inventory in the state, still needs its own permit for those direct-channel sales.
What Is Connecticut Use Tax?
Connecticut use tax applies at the same rates as sales tax, 6.35% general, when a buyer purchases taxable goods or services for use in Connecticut and the seller did not collect Connecticut tax. It most commonly applies to out-of-state and online purchases. Businesses report use tax on their sales and use tax return, per the DRS Business Use Tax page.
How Do You Register for a Connecticut Sales Tax Permit?
Register online through myconneCT, the DRS portal, before making any taxable sales. The Connecticut Sales and Use Tax Permit costs $100 under Conn. Gen. Stat. § 12-409, is valid for two years, and DRS renews it automatically at no additional charge when the account is in good standing. Registration is not free.
To register, have ready:
- Business entity details and structure
- Employer Identification Number (EIN) or Social Security Number (SSN)
- North American Industry Classification System (NAICS) code
- Owner information
- Business start date
The Commenda Connecticut sales tax permit page walks through the full application step by step.
How Do You File a Connecticut Sales Tax Return?
File Form OS-114 electronically through myconneCT and pay electronically; DRS requires electronic filing and payment for sales tax. Total your gross receipts, deduct exempt sales, calculate tax by rate category, then file and pay by the due date. A return is required for every period even when no tax is due; zero returns must still be filed.
When Are Connecticut Sales Tax Returns Due?
Connecticut sales tax returns and payment are due by the last day of the month following the reporting period. A monthly filer’s January return is due the last day of February. Connecticut does not use the 20th of the month like many states. DRS assigns your filing frequency by annual tax liability.
| Annual tax liability | Assigned frequency | Source |
|---|---|---|
| Over $4,000 | Monthly | DRS |
| $1,000 to $4,000 | Quarterly | DRS |
| Under $1,000 | Annual | DRS |
What Are the Penalties for Late Connecticut Sales Tax Filing?
The Connecticut late payment penalty is 15% of the tax due or $50, whichever is greater, and interest accrues at 1% per month or fraction of a month until paid, under Conn. Gen. Stat. § 12-419. The $50 minimum applies even to a late zero-tax return.
| Charge | Amount | Source |
|---|---|---|
| Late payment penalty | 15% of tax due or $50, whichever is greater | Conn. Gen. Stat. § 12-419 |
| Minimum penalty | $50, even on a zero-tax return | Conn. Gen. Stat. § 12-419 |
| Interest | 1% per month or fraction of a month until paid | Conn. Gen. Stat. § 12-419 |
DRS also audits noncompliant sellers and can pursue collection action, and operating without a permit carries its own fine.
How Commenda Helps With Connecticut Sales Tax
Commenda’s global indirect tax software tracks your physical and economic nexus across states, registers you, and files returns on time, with 100+ ERP, API, and custom integrations. Use the Commenda sales tax calculator for rate lookups, and the US nexus guide to monitor when you cross a threshold. The calculator looks up rates; it does not check nexus, so pair it with the exposure guide. Book a demo for a free Connecticut nexus exposure assessment.
