Connecticut (CT) Audit Requirements
This infomation can be found on the Connecticut Department of Consumer Protection Website
What financial information is required with the CT registration application?
A copy of an Internal Revenue Service Form 990, Form 990-EZ, or Form 990-PF, (whichever is appropriate for the organization) for its most recently completed fiscal year-end. If an organization files a Form 990N, it must complete a Form 990 or 990EZ for state purposes. Please note that even if the organization is not exempt from federal taxation and, therefore, does not file one of these forms with the IRS, it still must complete the form for state purposes.
If the IRS form that the organization submits with its registration application reports gross receipts exceeding $ 500,000 (excluding grants or fees from government agencies and revenue from trusts held by a trustee, usually a bank, for the benefit of the organization), it must also file an audit report of an independent public accountant. The auditor's opinion can relate to the IRS form or to a separate set of audited financial statements. It is very important to observe the distinction between gross receipts and gross revenue for purposes of the audit threshold. Gross receipts include the total income from an activity without deducting expenses related to the activity. For example, if $50,000 worth of raffle tickets are sold and the prizes cost the organization $30,000, the full $50,000 is counted toward gross receipts, not just the $20,000 the organization netted.
If the organization is newly organized and has not yet completed its initial fiscal year, a financial report will not be required. The organization will have to include a financial report when and if it renews its registration.