1995 Legislative Changes Affecting the Succession and Transfer Taxes and the Estate Tax. The sponge tax is the amount by which the federal credit allowed for state death taxes exceeds the total death taxes actually paid to all states by an estate. Gift Tax Residents are taxed on all gifts of intangible property and on gifts of real property and tangible personal property located in Connecticut. Nonresidents are taxed on gifts of real and tangible personal property located in Connecticut. Local Real Estate and Personal Property Taxes Real estate and personal property are subject to this tax, with some statutory exemptions.
Communities levy property tax to fund local government.
Neither the state nor its counties levy a property tax. October 1 is the assessment date for all municipalities. All owners of personal property, other than registered motor vehicles, must file a declaration with the assessor on or before November 1 . An annual property tax credit or rent rebate is available to residents, age 65 or older, or to a surviving spouse, age 50 or older, who meet certain residence and income requirements. Regardless of age, a totally and permanently disabled person is also eligible.