Brookfield, CT asked in Energy, Oil and Gas and Tax Law

Q: Do 501(c)(3) Corps have to pay tax on Propane Gas? See CERT-115. We are a Vol Fire Co.

I'm the Asst. Treasurer of the Brookfield Volunteer Fire Company, Inc., a 501(c)(3) certified organization. We noticed tax on an invoice for propane from Norbert E. Mitchell (our supplier.) They said, "you are not exempt from the CT - LP- Gross Receipts Tax". Is this true, and if so, are there any other taxes we are not exempt from?

Related Topics:
2 Lawyer Answers
Bruce Alexander Minnick
Bruce Alexander Minnick
Answered

A: You are confusing your federal tax-filing status with state sales taxes imposed on most if not all corporations. Just because the FEDERAL IRS has given you tax-free status does not make you exempt for state sales taxes. If it did there would be zillions of 501s out there.

Linda Simmons Campbell
Linda Simmons Campbell
Answered
  • Tax Law Lawyer
  • Burlington, CT

A: The State of Connecticut does allow exemptions for sales and use tax for 501c3 organizations. I did a quick search to see if the exemption applies to the gross receipts tax but could not find anything. I suggest calling the State of Connecticut Department of Revenue Services and ask them. They should be able to provide you with more detailed information regarding the exemption.

1 user found this answer helpful

Justia Ask a Lawyer is a forum for consumers to get answers to basic legal questions. Any information sent through Justia Ask a Lawyer is not secure and is done so on a non-confidential basis only.

The use of this website to ask questions or receive answers does not create an attorney–client relationship between you and Justia, or between you and any attorney who receives your information or responds to your questions, nor is it intended to create such a relationship. Additionally, no responses on this forum constitute legal advice, which must be tailored to the specific circumstances of each case. You should not act upon information provided in Justia Ask a Lawyer without seeking professional counsel from an attorney admitted or authorized to practice in your jurisdiction. Justia assumes no responsibility to any person who relies on information contained on or received through this site and disclaims all liability in respect to such information.

Justia cannot guarantee that the information on this website (including any legal information provided by an attorney through this service) is accurate, complete, or up-to-date. While we intend to make every attempt to keep the information on this site current, the owners of and contributors to this site make no claims, promises or guarantees about the accuracy, completeness or adequacy of the information contained in or linked to from this site.