State Form CT W-3

Connecticut Annual Reconciliation of Withholding

The CT W-3 form, “Connecticut Annual Reconciliation of Withholding” is used by employers in the state of Connecticut to reconcile state income tax withheld from employees’ wages during the calendar year. Here’s why and when you might need to file a CT W-3:  

Reconciliation of Withholding 

The CT W-3 provides a summary of the total state income tax that an employer has withheld from its employees’ wages throughout the year. It ensures that the amounts reported on the individual wage statements (usually the CT W-2 forms) match the total tax withheld and remitted to the Connecticut Department of Revenue Services (DRS). 

Reporting Requirements 

Employers who have registered with the DRS for withholding purposes are required to file this form. If you’ve been withholding Connecticut state income tax from the paychecks of your employees, you need to submit this form. 

Submission of W-2 Forms 

When employers file the CT W-3, they are also required to submit copies of the CT W-2 forms issued to their employees. This ensures the state has a record of individual wage and tax information. 

Compliance with State Tax Laws 

Filing the CT W-3 is a part of fulfilling your obligations under Connecticut’s tax laws. Failing to file the form or filing it late can result in penalties and interest. 

Finalizing Year-End Tax Duties 

The CT W-3 provides a way to close out the year regarding withholding responsibilities. Once it’s filed, and the accompanying W-2 forms are sent out, employers have largely fulfilled their state income tax obligations for the year. 

It’s essential to file the CT W-3 to remain in compliance with Connecticut’s tax laws and regulations when you’ve made payments that require information returns and have had Connecticut income tax withheld. Not filing or late filing can lead to penalties and interest charges.