Budget & Taxes (Business Taxes)

in committee · Connecticut · Senate Feb 4, 2026

SB 56: AN ACT ESTABLISHING A PERSONAL INCOME TAX DEDUCTION FOR PUBLIC BENEFIT CHARGES PAID BY TAXPAYERS ON THEIR UTILITY BILLS.

SB 56 would create a personal income tax deduction for taxpayers who pay "public benefit charges" on their utility bills (such as electricity or gas). This deduction applies to the total amount paid annually for these specific charges. Taxpayers would subtract this amount from their taxable income when filing state taxes. The bill directly affects individual taxpayers with utility bills that include these public benefit fees, reducing their overall tax liability.

Topics ✓ Budget & TaxesSupports Budget & TaxesCreates tax deduction for utility public benefit charges, reducing taxable income and lowering tax liability for individual taxpayers, aligning with tax relief indicators.92% confidence

Sub-Topics Business Taxes Income Tax Tax Incentives

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in committee · Connecticut · Senate Feb 4, 2026

SB 58: AN ACT RESTORING THE CAP ON A COMBINED GROUP'S TAX LIABILITY ON A UNITARY BASIS.

SB 58 restores a $2.5 million cap on tax liability for business groups that file taxes together under a "unitary" structure. It amends section 12-218e of the tax code to reinstate this limit, which was removed by a prior law (public act 25-168). The bill directly affects multi-entity business groups that combine their tax filings. This change sets a specific maximum tax amount these groups must pay under the unitary filing system.

Topics ✗ Budget & TaxesOpposes Budget & TaxesRestores $2.5M tax liability cap for business groups, limiting state tax revenue from unitary filers by restricting tax collection.90% confidence

Sub-Topics Business Taxes

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in committee · Connecticut · House Feb 9, 2026

HB 5083: AN ACT CONCERNING THE SALES PRICE THRESHOLD OF MOTOR VEHICLES SUBJECT TO A HIGHER SALES AND USE TAXES RATE AND LIMITING THE APPLICATION OF SAID RATE.

HB 5083 raises the sales price threshold for motor vehicles subject to a higher 7.75% sales and use tax rate from $75,000 to over $75,000. It directly affects owners of new or used vehicles priced above this new threshold by applying the higher tax rate only to the amount exceeding the threshold, not the full vehicle price. The key change limits the higher tax rate to the portion of the sales price above the increased threshold, reducing the tax burden on vehicles just above the new cutoff. This adjustment modifies the existing tax structure for luxury vehicles without changing the tax rate itself.

Topics ✗ Budget & TaxesOpposes Budget & TaxesReduces tax burden on high-end vehicles, creating tax break for wealthy buyers, aligning with 'oppose' indicator of tax breaks for wealthy.90% confidence

Sub-Topics Business Taxes Sales Tax

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in committee · Connecticut · House Feb 18, 2026

HB 5234: AN ACT ESTABLISHING A FEE ON SHORT-TERM RENTAL PROPERTIES.

HB 5234 would impose a fee on short-term rental properties (such as Airbnb listings) owned by individuals or businesses. The revenue generated from this fee would be distributed proportionally to local municipalities based on population or another specified formula. This bill directly affects property owners who rent accommodations for short periods, creating a new revenue stream for local governments to fund community services. The policy change is purely procedural, establishing the fee structure and distribution method without altering other regulations.

Topics ✓ Budget & TaxesSupports Budget & TaxesImposes fee on short-term rentals to generate revenue for local services, increasing tax revenue for municipal budgets.95% confidence

Sub-Topics Business Taxes Fees & Licensing

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in committee · Connecticut · Senate Feb 4, 2026

SB 43: AN ACT CONCERNING THE TAX CREDIT FOR MACHINERY AND EQUIPMENT.

SB 43 replaces Connecticut's existing machinery and equipment tax credit with a new 50% credit for corporations spending on such equipment installed in state facilities. It directly affects corporations that purchase and install machinery/equipment in Connecticut, removing previous employee-based restrictions. The bill requires equipment to be used in the facility for at least five years, and corporations must repay the full credit amount if this minimum use period is not met. This creates a simpler credit structure with a mandatory five-year usage requirement and repayment obligation for non-compliance.

Topics ✓ Budget & TaxesSupports Budget & TaxesBill creates 50% tax credit for corporate equipment purchases, directly providing tax relief under state tax policy while modifying existing credit structure.95% confidence

Sub-Topics Business Taxes Tax Credits

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in committee · Connecticut · House Feb 11, 2026

HB 5192: AN ACT ESTABLISHING A PERSONAL INCOME TAX DEDUCTION FOR TIPS OR GRATUITIES.

HB 5192 would create a new personal income tax deduction for workers who declare tips or gratuities to the IRS. Specifically, it adds a deduction for the full amount of tips reported by taxpayers in their annual tax filings. This directly affects service industry workers (like servers, bartenders, and hair stylists) who receive tips as part of their income. The policy change would reduce taxable income for these workers by the amount of their declared tips, lowering their overall tax bill.

Topics ✓ Budget & TaxesSupports Budget & TaxesCreates tax deduction for service workers' tips, reducing taxable income and lowering tax burden for middle/lower income earners in the service industry.95% confidence ✓ Labor & EmploymentSupports Labor & EmploymentProvides tax deduction for declared tips, reducing taxable income and lowering tax burden for service workers, directly increasing their take-home pay.95% confidence

Sub-Topics Business Taxes Income Tax Minimum Wage

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in committee · Connecticut · House Feb 10, 2026

HB 5139: AN ACT ESTABLISHING AN ESTATE TAX RECAPTURE FOR CERTAIN ESTATES AND AN ALTERNATIVE MINIMUM ESTATE TAX.

HB 5139 establishes two key estate tax provisions: (1) an estate tax recapture for estates exceeding $15 million in value, requiring additional tax payment if the effective rate falls below 2%, and (2) an alternative minimum estate tax to ensure the effective tax rate never drops below 2%. This bill directly affects high-value estates (over $15 million) by preventing tax avoidance through low effective rates. The recapture mechanism targets estates that would otherwise pay minimal tax relative to their value, while the alternative minimum tax sets a floor on the tax rate. These provisions aim to maintain revenue from large estates under the state's tax code.

Topics ✓ Budget & TaxesSupports Budget & TaxesCloses tax loophole for high-value estates by mandating minimum 2% effective tax rate, ensuring fiscal responsibility and preventing tax avoidance.95% confidence

Sub-Topics Business Taxes State Budget

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in committee · Connecticut · House Feb 9, 2026

HB 5089: AN ACT EXEMPTING OVERTIME WAGES, TIPS OR GRATUITIES AND SOCIAL SECURITY BENEFITS FROM THE PERSONAL INCOME TAX.

HB 5089 would exempt overtime wages, tips or gratuities, and Social Security benefits from the state's personal income tax. This directly affects workers who earn overtime pay, receive tips (like in restaurants), or rely on Social Security benefits as part of their income. The bill's key mechanism is amending tax law to remove these specific income sources from taxable personal income. It does not change tax rates for other income types, focusing solely on these exemptions.

Topics ✓ Budget & TaxesSupports Budget & TaxesExempts overtime, tips, and Social Security from state income tax, providing direct tax relief to lower/middle-income earners and retirees.95% confidence ✓ Labor & EmploymentSupports Labor & EmploymentExempts overtime, tips, and Social Security from state tax, increasing net income for affected workers without altering wage structures or benefits.85% confidence

Sub-Topics Business Taxes Income Tax Sales Tax Labor Standards Minimum Wage

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in committee · Connecticut · House Feb 20, 2026

HB 5060: AN ACT CONCERNING THE APPRENTICESHIP TRAINING TAX CREDIT.

HB 5060 increases the maximum business tax credit for wages paid to apprentices in the construction trades from $4,000 to $7,500 per apprentice. This directly affects construction companies that hire apprentices, providing them with greater financial incentive to train new workers. The key provision raises the per-apprentice credit limit in the existing tax credit program. The change simplifies the policy by increasing the cap without altering eligibility rules or creating new requirements.

Topics ✓ Budget & TaxesSupports Budget & TaxesIncreases business tax credit for apprenticeship training, providing direct tax relief to construction companies under fiscal policy.85% confidence ✓ Labor & EmploymentSupports Labor & EmploymentIncreases tax credit for apprenticeship training, directly funding workforce development in construction trades and incentivizing employer-sponsored worker training.95% confidence

Sub-Topics Business Taxes Tax Credits Apprenticeships

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in committee · Connecticut · Senate Feb 4, 2026

SB 75: AN ACT ESTABLISHING A CAREGIVER TAX CREDIT AGAINST THE PERSONAL INCOME TAX.

SB 75 establishes a $500 tax credit against personal income tax for taxpayers who pay for the care of a family member aged 50+ receiving Social Security disability benefits or aged 60+ (with income limits of $200,000 for single filers and $400,000 for married couples filing jointly). The credit directly affects caregivers supporting eligible relatives while meeting federal income thresholds. Key provisions include the fixed credit amount, specific eligibility criteria for the care recipient, and the income limits for qualifying taxpayers. This bill creates a direct tax reduction for qualifying caregivers, with no additional mechanisms or funding details specified.

Topics ✓ Budget & TaxesSupports Budget & TaxesProvides $500 tax credit for caregivers supporting eligible relatives, reducing tax burden for middle-income families within defined income limits.95% confidence

Sub-Topics Business Taxes Income Tax Tax Credits

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