Bill Text: CT HB05427 | 2018 | General Assembly | Comm Sub

Connecticut House Bill 5427 (Prior Session Legislation)

Bill Title: An Act Concerning The Admissions Tax.

Spectrum: Committee Bill

Status: (Introduced - Dead) 2018-04-23 - File Number 636 [HB05427 Detail]

Download: Connecticut-2018-HB05427-Comm_Sub.html

General Assembly		*Substitute Bill No. 5427*
*February Session, 2018*		_____HB05427FIN___040618____

AN ACT CONCERNING THE ADMISSIONS TAX.

Be it enacted by the Senate and House of Representatives in General Assembly convened:

Section 1. Section 12-541 of the 2018 supplement to the general statutes is repealed and the following is substituted in lieu thereof (Effective October 1, 2018):

(a) There is hereby imposed a tax of [ten] six per cent of the admission charge to any [place of amusement, entertainment or recreation] motion picture show, except that no tax shall be imposed [with respect to any admission charge (1) when the admission charge is less than one dollar or, in the case of any motion picture show, when] (1) if the admission charge is not more than five dollars, [(2) when a daily admission charge is imposed which entitles the patron to participate in an athletic or sporting activity, (3) to any event, other than events held at the stadium facility, as defined in section 32-651,] (2) if all of the proceeds from the [event] motion picture show inure exclusively to an entity [which] that is exempt from federal income tax under the Internal Revenue Code, provided such entity actively engages in and assumes the financial risk associated with the presentation of such [event, (4) to any event, other than events held at the stadium facility, as defined in section 32-651, which,] motion picture show, or (3) on a motion picture show that, in the opinion of the commissioner, is [conducted] shown primarily to raise funds for an entity [which] that is exempt from federal income tax under the Internal Revenue Code, provided the commissioner is satisfied that the net profit [which] that inures to such entity from such [event] showing will exceed the amount of the admissions tax [which] that, but for this subdivision, would be imposed upon the person making such charge to such [event] showing. [, (5) other than for events held at the stadium facility, as defined in section 32-651, paid by centers of service for elderly persons, as described in section 17a-310, (6) to any production featuring live performances by actors or musicians presented at Gateway's Candlewood Playhouse, Ocean Beach Park or any nonprofit theater or playhouse in the state, provided such theater or playhouse possesses evidence confirming exemption from federal tax under Section 501 of the Internal Revenue Code, (7) to any carnival or amusement ride, (8) to any interscholastic athletic event held at the stadium facility, as defined in section 32-651, or (9) if the admission charge would have been subject to tax under the provisions of section 12-542 of the general statutes, revision of 1958, revised to January 1, 1999. On and after July 1, 2000, the tax imposed under this section on any motion picture show shall be eight per cent of the admission charge and, on and after July 1, 2001, the tax imposed on any such motion picture show shall be six per cent of such charge.]

(b) The tax shall be imposed upon the person making [such] the admission charge and reimbursement for the tax shall be collected by such person from the [purchase] purchaser. Such reimbursement, termed "tax", shall be paid by the purchaser to the person making the admission charge. Such tax, when added to the admission charge, shall be a debt from the purchaser to the person making the admission charge and shall be recoverable at law. The amount of tax reimbursement, when so collected, shall be deemed to be a special fund in trust for the state of Connecticut.

Sec. 2. Subdivision (1) of subsection (a) of section 7-168a of the 2018 supplement to the general statutes is repealed and the following is substituted in lieu thereof (Effective from passage):

(a) (1) A municipality may, by ordinance, impose a surcharge on the admission charge for any event that is held at a facility located within the municipality. The amount of such surcharge shall not exceed five per cent of the amount of admission, except that the amount of such surcharge imposed on the [facility described in subdivision (12) of subsection (a) of section 12-541] Dunkin' Donuts Park in Hartford shall not exceed ten per cent of the amount of admission. The amount of any such surcharge shall be in addition to any tax otherwise applicable to such admission charge, except that no municipality may impose a surcharge on a facility pursuant to this section if (A) the municipality imposes a surcharge on such facility pursuant to section 12-579, or (B) all of the proceeds from the event inure exclusively to an entity which is exempt from federal income tax under the Internal Revenue Code, provided such entity actively engages in and assumes the financial risk associated with the presentation of such event. Any municipal ordinance adopted pursuant to this section may exclude additional events or facilities from the surcharge imposed pursuant to this section.

Sec. 3. Subsection (a) of section 12-578i of the 2018 supplement to the general statutes is repealed and the following is substituted in lieu thereof (Effective from passage):

(a) (1) There is established an Advisory Council on Large Entertainment Venues. Any of the following amusement, entertainment or recreation [facility described in subdivisions (8) to (13), inclusive, of subsection (a) of section 12-541] facilities that [has] have a seating capacity greater than five thousand persons shall be entitled to representation on the council: (A) The stadium facility, as defined in section 32-651; (B) any amusement, entertainment or recreation facility that would have been subject to tax under the provisions of section 12-542 of the general statutes, revision of 1958, revised to January 1, 1999; (C) the XL Center in Hartford; (D) the Webster Bank Arena in Bridgeport; (E) the Ballpark at Harbor Yard in Bridgeport; (F) the Dunkin' Donuts Park in Hartford; and (G) the New Britain Stadium.

(2) Except as provided in subsection (b) of this section, each representative to the council shall be designated not later than September 1, 2017. The council shall select the chairperson of the council from among the members of the council and schedule the first meeting of the council not later than October 1, 2017. The council shall meet at least annually to consider: [(1)] (A) The coordination of concerts, mixed martial arts events and other large entertainment events at such facilities; and [(2)] (B) other issues related to the operation of such facilities as determined by the council.

Sec. 4. Section 12-540 of the general statutes is repealed and the following is substituted in lieu thereof (Effective October 1, 2018):

Whenever used in this chapter:

(1) "Person" means and includes any individual, firm, copartnership, joint venture, association of persons however formed, social club, fraternal organization, corporation, limited liability company, estate, trust, fiduciary, receiver, trustee, syndicate, the United States, this state or any political subdivision thereof or any group or combination acting as a unit, and any other individual or officer acting under the authority of any court in this state;

(2) "Taxpayer" means any person as defined in subdivision (1) of this section who is subject to any tax imposed by this chapter;

(3) "Admission charge" means the amount paid, whether in the form of a ticket price, [license fee, skybox, luxury suite or club seat rental charge or] purchase price [,] or otherwise, for the right or privilege to have access to a place or location where [amusement, entertainment or recreation is provided, exclusive of any charges for instruction, and including any preferred seat license fee or any other payment required in order to have the right to purchase seats or secure admission to any such place or location. Places of amusement, entertainment or recreation include, but are not limited to, theaters, motion picture shows, auditoriums where lectures and concerts are given, amusement parks, fairgrounds, race tracks, dance halls, ball parks, stadiums, amphitheaters, convention centers, golf courses, miniature golf courses, tennis courts, skating rinks, swimming pools, bathing beaches, gymnasiums, auto shows, boat shows, camping shows, home shows, dog shows and antique shows] motion pictures are shown;

(4) "Dues" shall include assessment charges to members irrespective of the purpose for which made and any charges for social, athletic or sporting privileges or facilities for any period of more than six days but not including charges made for instruction, charges for locker rental or charges for special assessments made (A) for the construction or reconstruction of any social, athletic or sporting facility or any increase in charges made after June 29, 1999, which increase is to be used for the acquisition of land provided such land is "farm land", "open space land" or "forest land", as defined in section 12-107b, and further provided that an application or applications pursuant to section 12-107c, 12-107d or 12-107e are made for the assessment list next following the acquisition of such land, or (B) for the construction or reconstruction of any capital addition to any such facility, or (C) furnishings or fixtures, including installation charges, for any such facility, to the extent that such furnishings or fixtures are required, by reason of the construction or reconstruction described in subparagraph (A) or (B) of this subdivision, for the use of such facility upon completion of such construction or reconstruction; except that, in the case of any such amount which is not expended for such construction, reconstruction, furnishings or fixtures, including installation charges, within three years after the date of payment of such amount, the exemption provided by this subdivision shall cease to apply upon the expiration of such three-year period, and the club shall be liable for any tax imposed by section 12-543 in respect of such payment, as if such payment had been made on the first day following the expiration of such three-year period;

(5) "Initiation fees" shall include any payment, contribution or loan required as a condition precedent to membership whether or not any such payment, contribution or loan is evidenced by a certificate of interest or indebtedness or share of stock;

(6) "Operating under a lodge system" means carrying on activities under a form of organization that comprises local branches, chartered by a parent organization and largely self-governing, called "lodges", "chapters" or any similar title;

(7) "Club" means any organization which is either owned or operated by its members, or both.


This act shall take effect as follows and shall amend the following sections:
Section 1	October 1, 2018	12-541
Sec. 2	from passage	7-168a(a)(1)
Sec. 3	from passage	12-578i(a)
Sec. 4	October 1, 2018	12-540