The "Connecticut Real Estate Conveyance Tax Return (form OP-236)" is a critical document for Connecticut's real estate transaction process, issued by the Department of Revenue Services. This form plays a significant role in the conveyance process, where it's used to report and calculate the conveyance tax owed to the state and, if applicable, to the municipality where the property is located.
What Is This Form For?
The Connecticut Real Estate Conveyance Tax Return form is designed to calculate and report the conveyance tax due when real estate property is transferred from one party to another. Conveyance tax is a tax imposed by state and sometimes local governments on transferring real property title within the jurisdiction.
Why Is It Needed?
It's required for the proper assessment and collection of taxes associated with real estate transfer. This tax contributes to the revenue of the state and, in some cases, the local municipality, supporting various public services and infrastructure projects.
Who Should Use It?
The intended audience for this form typically includes sellers of real estate property, legal representatives, and title or escrow companies involved in the real estate transaction process in Connecticut. It's particularly relevant for parties executing the sale or transfer of property rights.
How Should The Form Be Filled Out?
Filling out the form generally involves the following:
- Identifying information about the seller(s) and buyer(s), including names and addresses.
- Detailed information about the property being transferred, including its location (address, town, and parcel number) and a property type description.
- The sale or transfer price of the property.
- Calculation of the conveyance tax due, based on the sale price and applicable tax rates, which may vary by municipality.
- Schedules A and B may require additional details about the property and the transaction.
What Are The Key Pieces Of Information That The Form Requires?
- Seller and buyer details.
- Property description and location.
- Sale or transfer price.
- Tax calculation based on the sale price.
- Any exemptions or reductions in tax that apply to the transaction.
When Should It Be Submitted?
The form is typically required to be submitted at or before the real estate transaction's closing. Specific deadlines can depend on local regulations, but immediate submission in line with the transaction closing is standard practice.
Where And How Should The Form Be Submitted?
Submission methods can include:
- If available online, through the Department of Revenue Services' electronic filing systems.
- Send the completed form to the appropriate state and municipal office by mail.
- In-person, when recording the deed with the town clerk's office.
How Much Does It Cost To Submit Or File The Form?
The cost is not typically associated with the submission of the form itself, but with the conveyance tax calculated based on the transaction's details. The tax rate varies, with different rates for the state and potentially for the municipality. There might be a nominal fee for recording the deed and the tax return in the public record, which varies by location.