Budget & Taxes

in committee · Connecticut · Senate Feb 4, 2026

SB 70: AN ACT EXEMPTING SOCIAL SECURITY BENEFITS AND PENSION OR ANNUITY INCOME FROM THE PERSONAL INCOME TAX.

SB 70 would exempt all Social Security benefits and pension or annuity income from state personal income tax for every taxpayer. This policy change directly affects residents receiving these income types, removing them from the taxable base. The bill amends Section 12-701 of the general statutes to implement this universal exemption. It creates a concrete tax relief measure without altering other income tax provisions.

Topics ✓ Budget & TaxesSupports Budget & TaxesExempts Social Security/pension income from state income tax, providing direct tax relief to recipients, aligning with support indicators for tax relief measures.95% confidence

Sub-Topics Income Tax Pensions Sales Tax

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signed · Connecticut · Senate May 26, 2026

SB 1: AN ACT MAKING ADJUSTMENTS TO THE STATE BUDGET FOR THE BIENNIUM ENDING JUNE 30, 2027, MAKING DEFICIENCY APPROPRIATIONS FOR THE FISCAL YEAR ENDING JUNE 30, 2026, AUTHORIZING AND ADJUSTING BONDS OF THE STATE AND CONCERNING PROVISIONS RELATING TO REVENUE, SCHOOL CONSTRUCTION AND OTHER ITEMS TO IMPLEMENT THE STATE BUDGET.

This bill removes sales tax on clothing under $100, school supplies, and appliances, and eliminates a 1% tax on meals sold by grocery stores. It creates new tax credits for homeowners (increasing the existing credit), caregivers of elderly or disabled family members, and renters earning $75,000 or less for primary residence costs. These changes directly lower tax burdens for Connecticut residents, particularly lower- and middle-income households. The bill modifies sales tax rules and expands income tax credits to improve affordability.

Topics ✓ Budget & TaxesSupports Budget & TaxesRemoves sales tax on essentials and adds credits for lower/middle-income households, reducing tax burden per bill summary.95% confidence ✓ EducationSupports EducationRemoves sales tax on school supplies, directly reducing costs for families and supporting educational access for students.85% confidence ✓ HousingSupports HousingBill creates tax credits for renters earning $75k or less for primary residence costs, directly reducing housing costs and advancing affordability for lower-income households.90% confidence

Sub-Topics Business Taxes Sales Tax Tax Credits Property Taxes

in committee · Connecticut · Senate Feb 4, 2026

SB 61: AN ACT ESTABLISHING A VOLUNTARY EMPLOYER PAYROLL TAX AND A PERSONAL INCOME TAX CREDIT FOR CERTAIN EMPLOYEES.

SB 61 creates a voluntary payroll tax that employers may choose to pay, paired with a personal income tax credit for eligible employees. Employers who opt to participate in this program would pay the tax, and their qualifying employees would receive a corresponding tax credit on their state income tax returns. The bill specifically targets certain employees of participating employers, though it does not detail eligibility criteria in the provided text. This establishes a direct financial benefit for employees through the tax credit mechanism, contingent on employer participation.

Topics ✓ Budget & TaxesSupports Budget & TaxesCreates tax credit for employees, reducing their state income tax burden - direct tax relief for targeted group.90% confidence ✓ Labor & EmploymentSupports Labor & EmploymentCreates tax credit for employees, directly increasing disposable income as a financial benefit aligned with worker wage support.95% confidence

Sub-Topics Business Taxes Tax Credits Tax Incentives

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in committee · Connecticut · Senate Feb 17, 2026

SB 206: AN ACT EXEMPTING THE COST OF HEADSTONES UP TO A CERTAIN AMOUNT FROM THE SALES AND USE TAXES.

SB 206 exempts up to $2,500 of the cost of a headstone from state sales and use taxes. This directly affects individuals purchasing headstones for gravesites, reducing their out-of-pocket expenses. The bill amends tax law to exclude the first $2,500 spent on headstones from taxable sales, applying to all eligible headstone purchases. It creates a specific sales tax exemption for this item without altering broader tax policies.

Topics ✓ Budget & TaxesSupports Budget & TaxesExempts headstone costs up to $2,500 from sales tax, providing direct tax relief for individuals purchasing burial markers.95% confidence

Sub-Topics Procurement Sales Tax Tax Incentives

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in committee · Connecticut · House Mar 24, 2026

HB 5296: AN ACT ESTABLISHING A PERSONAL INCOME TAX DEDUCTION FOR NATIONAL GUARD STATE ACTIVE DUTY PAY.

HB 5296 creates a new personal income tax deduction for Connecticut National Guard members who serve on active duty. The bill modifies Connecticut's tax code to allow these service members to subtract their active duty pay from their taxable income, reducing their state tax burden. This deduction applies to taxable years beginning January 1, 2026, and affects National Guard members whose active duty pay would otherwise be subject to state income tax. The policy change directly benefits Connecticut's National Guard personnel by providing tax relief for their active duty compensation.

Topics ✓ Budget & TaxesSupports Budget & TaxesCreates tax deduction for National Guard members, reducing state tax burden - direct tax relief aligning with support indicators.95% confidence ✓ VeteransSupports VeteransBill creates tax deduction for National Guard active duty pay, directly reducing tax burden for veterans serving in National Guard, expanding financial benefits.95% confidence

Sub-Topics Income Tax National Guard & Reserve

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in committee · Connecticut · House Feb 10, 2026

HB 5116: AN ACT REDUCING THE RATE OF THE SALES AND USE TAXES.

HB 5116 would reduce the state's sales and use tax rate from its current level to 6% by amending Chapter 219 of the general statutes. This change would directly affect all consumers purchasing taxable goods and services, as well as businesses collecting and remitting these taxes. The bill's key provision is the specific rate reduction to 6%, replacing the existing tax rate in the law. This is a straightforward policy change to lower the tax burden for everyday transactions.

Topics ✓ Budget & TaxesSupports Budget & TaxesReduces sales tax rate from current level to 6%, providing direct tax relief to consumers and businesses per bill summary.95% confidence

Sub-Topics Business Taxes Procurement Sales Tax

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in committee · Connecticut · Senate Feb 11, 2026

SB 183: AN ACT ESTABLISHING A PERSONAL INCOME TAX DEDUCTION FOR CERTAIN GAMBLING LOSSES.

SB 183 would allow individual taxpayers to deduct gambling losses from their taxable income when they report gambling winnings. This directly affects people who gamble and have taxable winnings, such as those who win money at casinos, lotteries, or sports betting. The bill establishes a mechanism where losses can be subtracted from winnings to reduce the overall tax liability, meaning taxpayers would only pay income tax on their net gambling profit (winnings minus losses). The bill does not change the tax treatment of gambling winnings themselves, only allowing losses to offset those winnings for tax purposes.

Topics ✓ Budget & TaxesSupports Budget & TaxesBill allows tax deduction for gambling losses, reducing taxable income and providing tax relief for affected taxpayers.90% confidence

Sub-Topics Income Tax

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in committee · Connecticut · House Feb 6, 2026

HB 5059: AN ACT ESTABLISHING A RESEARCH AND DEVELOPMENT TAX CREDIT FOR PASS-THROUGH ENTITIES.

HB 5059 creates a 6% tax credit against personal income tax for pass-through entities (such as S-corporations, partnerships, and sole proprietorships) that incur research and development expenses. The credit directly applies to business owners who pay personal income tax, reducing their tax liability by 6% of qualifying R&D costs. Key provisions require businesses to pay or incur eligible R&D expenses during a taxable year to claim the credit. This policy change lowers the tax burden for small businesses and entrepreneurs investing in innovation, without altering tax rates or creating new regulations.

Topics ✓ Budget & TaxesSupports Budget & TaxesCreates 6% tax credit for small business R&D expenses, reducing tax liability for pass-through entities (aligned with tax relief for middle-income business owners)90% confidence ✓ TechnologySupports TechnologyTax credit for R&D expenses directly incentivizes technology innovation and development, aligning with funding/support indicators for tech advancement.85% confidence

Sub-Topics Business Taxes Tax Credits Tax Incentives

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in committee · Connecticut · Senate Feb 6, 2026

SB 94: AN ACT CONCERNING FUNDING FOR CHILDREN'S MENTAL HEALTH.

SB 94 allocates $250,000 from the General Fund to the Department of Children and Families for grants to psychiatric clinics, specifically funding the Child and Family Agency of Southeastern Connecticut. The bill directly affects this agency by providing dedicated funding for children's mental health services in that region. Key provisions include setting aside the funds for the fiscal year ending June 30, 2027, to support clinic-based services. The stated purpose is to increase mental health funding access for children in southeastern Connecticut.

Topics ✓ Budget & TaxesSupports Budget & TaxesAllocates $250k from General Fund for mental health services, directly increasing public service funding per bill's explicit budget allocation.95% confidence ✓ HealthcareSupports HealthcareAllocates $250k for children's mental health services via grants to psychiatric clinics, directly funding regional mental health care.95% confidence

Sub-Topics State Budget Mental Health Primary Care

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in committee · Connecticut · House Feb 9, 2026

HB 5095: AN ACT EXEMPTING PET GROOMING SERVICES FROM THE SALES AND USE TAXES.

HB 5095 would remove sales tax from pet grooming services, directly affecting pet groomers and pet owners who pay for these services. The bill amends the state tax code (chapter 219) to exempt pet grooming as a taxable service, meaning businesses would no longer collect sales tax on this specific service. This change would lower costs for customers seeking pet grooming and simplify tax compliance for service providers. The bill focuses solely on the tax treatment of pet grooming, with no other policy changes or broader implications outlined.

Topics ✓ Budget & TaxesSupports Budget & TaxesExempts pet grooming from sales tax, providing direct tax relief to consumers and simplifying compliance for businesses, aligning with tax relief indicators for middle-income services.90% confidence

Sub-Topics Business Taxes Sales Tax

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