Sec. 12-589. Refunds of overpayment of tax. Interest.
Sec. 12-589. Refunds of overpayment of tax. Interest. (a)(1) Any company believing that it has overpaid any taxes imposed under section 12-587 may file a claim
for refund in writing with the commissioner within three years from the due date for
which such overpayment was made, stating the specific grounds upon which the claim
is founded. Failure to file a claim within the time prescribed in this section constitutes
a waiver of any demand against the state on account of overpayment. Not later than
ninety days following receipt of such claim for refund the commissioner shall determine
whether such claim is valid and if so, said commissioner shall notify the State Comptroller of the amount of such refund and the State Comptroller shall draw an order on the
State Treasurer in the amount thereof for payment to such company. If the commissioner
determines that such claim is not valid, either in whole or in part, he shall mail notice
of the proposed disallowance to the claimant, which notice shall set forth briefly the
commissioner's findings of fact and the basis of disallowance in each case decided in
whole or in part adversely to the claimant. Sixty days after the date on which it is mailed,
a notice of proposed disallowance shall constitute a final disallowance except only for
such amounts as to which the claimant has filed, as provided in subdivision (2) of this
subsection, a written protest with the commissioner.
(2) On or before the sixtieth day after the mailing of the proposed disallowance,
the claimant may file with the commissioner a written protest against the proposed
disallowance in which the claimant sets forth the grounds on which the protest is based.
If a protest is filed, the commissioner shall reconsider the proposed disallowance and,
if the claimant has so requested, may grant or deny the claimant or the claimant's authorized representatives an oral hearing.
(3) The commissioner shall mail notice of his determination to the claimant, which
notice shall set forth briefly the commissioner's findings of fact and the basis of decision
in each case decided in whole or in part adversely to the claimant.
(4) The action of the commissioner on the claimant's protest shall be final upon the
expiration of one month from the date on which he mails notice of his action to the
claimant unless within such period the claimant seeks judicial review of the commissioner's determination pursuant to section 12-597.
(b) To any refund granted as a result of overpayments of any taxes imposed under
section 12-587, except refunds due because of any intentional overpayment, there shall
be added interest at the rate of two-thirds of one per cent for each month or fraction of
a month which elapses between (1) the later of the due date of such taxes or the date of
making such overpayment and (2) the date of notice by the Commissioner of Revenue
Services that any such refund is due.
(P.A. 80-71, S. 3, 30; P.A. 89-343, S. 4, 17; P.A. 93-361, S. 6; P.A. 95-26, S. 29, 52; P.A. 97-243, S. 61, 67.)
History: P.A. 80-71 effective July 1, 1980, and applicable to calendar quarters commencing on or after that date; P.A.
89-343 increased the rate of interest from 0.5% to 0.75% per month or fraction thereof; P.A. 93-361 made existing section
Subsec. (b) and inserted a new Subsec. (a) providing for claims for refund of taxes upon overpayment; P.A. 95-26 amended
Subsec. (b) to lower interest rate from 0.75% to 0.66%, effective July 1, 1995, and applicable to taxes due and owing on
or after July 1, 1995, whether or not those taxes first became due before said date; P.A. 97-243 amended Subsec. (a) to
provide for an administrative hearing with the department before taking an appeal to the Superior Court, establish the time
for filing a claim and that failure to file within the time prescribed constitutes a waiver of any demand against the state on
account of overpayment and made technical changes, effective July 1, 1997, and applicable to claims for refund filed on
or after said date.