New Legislative Acts Effective July 2019

Based on the past legislative session, new acts have become effective on July 1, 2019. A selection of new acts that are of special interest to CBA members are below. A full list can be found here.

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Tax on Legal Services Removed from State Budget

On June 26, 2019, Governor Ned Lamont signed the most recent biennial state budget into law. The approved two-year budget does not include a sales tax on legal services as originally recommended by the governor. As you know, the CBA strongly opposed the proposal as it would unnecessarily tax people in times of their greatest need.

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A Message from the CBA President: Proposed Sales Tax on Legal Services

Dear Colleagues:

As you are well aware, Governor Lamont’s budget included a line item of $107 million in revenue for Fiscal Years 2020 and 2021 through the expansion of sales tax on legal services. Business to business will remain exempt from sales tax. I believe we all agree this will be damaging to our clients and our businesses. A hearing on the proposed tax has been scheduled for Friday, March 15, 2019 at the legislature.  This proposal affects us all and we are asking for your assistance in opposing this tax.

We are asking you to contact your State Representative or State Senator to voice your opposition to this proposal.  You can find your legislators HERE.  PLEASE take ten minutes to communicate with your legislators by Wednesday of this week. Since a number of professions are having their exempt status challenged, our goal is to express why legal services are unique from other taxable goods and services.

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