SB 84 Connecticut Senate · 2026 Regular Session

AN ACT CONCERNING ADJUSTMENTS TO STATE REVENUE.

SB 84 modifies state tax rules to implement the governor's budget. It primarily reduces the hospital tax rate for inpatient services from 6% to 4.1% starting July 2026, further lowering to 4% in 2030 and 3.5% after 2031. The bill also changes business tax deductions by disallowing 80% of Section 179 deductions (with a four-year recovery) and modifies depreciation rules for federal tax purposes. These changes directly affect hospitals and businesses claiming these specific tax deductions.

Issues: ✓ Budget & Taxes

Bill status in committee 1 of 4 stages cleared

Introduction

Feb 2026

Committee Review

Floor Vote

Governor

Introduced Feb 5, 2026 Last action Apr 20, 2026

Maddy AI version diff · 1 comparison

What changed between versions

Governor's Bill → FIN Joint Favorable Substitute · 4 edits

MODERATE

The bill was renamed from a 'Governor's Bill' to a 'Substitute Bill' and its title was updated to reflect revenue adjustments rather than implementing the Governor's budget. The most significant substantive change is the addition of a new section establishing a tax on research and development expenses for businesses, including specific definitions for qualified small businesses and the commissioner responsible for oversight. Additionally, the document page count increased significantly, indicating the addition of new content beyond the original version.

Scope change

The bill's scope expanded to include a new tax on research and development expenses, which was not present in the original version.

FISCAL

Added a new section creating a tax on research and development expenses and basic research payments for businesses.

DEFINITION

Defined new terms including 'research and development expenses,' 'commissioner,' and 'qualified small business' with specific financial thresholds.

TECHNICAL

Changed the bill type from 'Governor's Bill' to 'Substitute Bill' and updated the title to focus on revenue adjustments.

TIMELINE

The document page count increased from 69 to 107, reflecting the addition of new substantive content.

Floor votes

How they voted

No floor votes recorded yet.

Full legislative history

Actions timeline

Total actions

Key actions

Committee

Mar 31, 2026

Upper · Passed

Joint Favorable Substitute

upper

Feb 5, 2026

Committee

REF. TO JOINT COMM. ON Finance, Revenue and Bonding

upper

2 primary · 0 co-sponsors