Pension and annuity changes to begin in January

(Image: Shutterstock)

HARTFORD, Conn. (WTNH) — State Representative Arthur O’Neill is reminding taxpayers of pension and annuity changes in the new year.

Following the passage of Public Act 17-147, pension plan administrators or payers of pensions or annuities must now withhold income taxes from disbursements.

Related Content: Ample tax cuts for business, wealthy in new GOP tax accord

Connecticut residents must file form CT-W4P indicating their pension and annuity withholding choices with their plan administrator. Otherwise, the top level of 6.99% will be withheld.

Web Extra: Click here to get Connecticut Tax Form CT-W4P

“Many people who receive pensions or annuities rely on that income for day-to-day expenses, and while not a new or increased tax on these payments this change is potentially confusing and could cause some taxpayers to see a fluctuation in their checks or tax liability,” Rep. O’Neill said. “My hope is that these technical changes will not come as a surprise and taxpayers will be able to better anticipate their income or liability beforehand.”

The Department of Revenue Services has updated information available at Questions can be answered over the phone by calling 1-860-297-5962.

WTNH NEWS8 provides commenting to allow for constructive discussion on the stories we cover. In order to comment here, you acknowledge you have read and agreed to our Terms of Service. Commenters who violate these terms, including use of vulgar language or racial slurs, will be banned. Please be respectful of the opinions of others. If you see an inappropriate comment, please flag it for our moderators to review. Also, you can now block any inappropriate user by simple selecting the drop down menu on the right of any comment and selection "Block User" from there.

Leave a Reply

Fill in your details below or click an icon to log in: Logo

You are commenting using your account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s