As a therapist operating an LLC in Connecticut, understanding your tax obligations is crucial for financial health and compliance. This guide clarifies federal and Connecticut-specific taxes, deductions, and deadlines relevant to your practice in 2026. Staying organized can be complex, especially when balancing client care. Check out our guide on the Connecticut LLC filing process for step-by-step instructions. That's where Lovie's AI-powered platform can streamline your business operations, including tax management, giving you more time to focus on your patients.
For therapists operating as LLCs in Connecticut, taxes are typically handled through a pass-through system. This means the LLC itself doesn't pay income taxes; instead, profits and losses are passed through to the owner(s) who report them on their personal income tax returns. However, Connecticut also imposes a Business Entity Tax (BET) on LLCs. Our resource on forming an LLC in Connecticut breaks this down further. Understanding both federal and state-specific requirements is essential for accurate tax planning and compliance.
Single-member LLCs pay self-employment tax (15.3%) plus income tax on all net profits, reported on Schedule C of the owner's personal tax return.
Deduct expenses for the portion of your home exclusively and regularly used for your therapy practice.
Deduct premiums paid for professional liability (malpractice) insurance and other business-related insurance. Deduct expenses for courses, workshops, and conferences related to your therapy practice.
Pay estimated federal income tax if you expect to owe at least $1,000 in taxes for the year.
Pay estimated self-employment tax (Social Security and Medicare) if you expect to owe at least $1,000 in taxes for the year. Pay estimated Connecticut income tax if you expect to owe at least $1,000 in taxes for the year.
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State-specific formation guides, cost breakdowns, compliance checklists, and expert comparisons — updated for 2026.