Budget & Taxes (Business Taxes)

in committee · Connecticut · Senate Feb 4, 2026

SB 67: AN ACT ESTABLISHING A CAP ON THE AGGREGATE AMOUNT OF PERSONAL INCOME TAX REVENUE THE STATE MAY COLLECT.

SB 67 establishes a legal limit on the total amount of personal income tax revenue the state can collect annually. If tax collections exceed this cap, the state must refund the excess amount proportionally to all personal income taxpayers. The bill directly affects every individual or household paying state personal income tax by guaranteeing refunds when revenue surpasses the set threshold. This policy change creates a binding fiscal constraint on the state’s ability to raise revenue through its income tax system.

Topics ✗ Budget & TaxesOpposes Budget & TaxesBill caps state personal income tax revenue, forcing refunds when exceeded, directly restricting state's revenue collection ability in budget & taxes.95% confidence

Sub-Topics Business Taxes Income Tax State Budget

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in committee · Connecticut · Senate Mar 23, 2026

SB 245: AN ACT ELIMINATING CERTAIN TAX INCENTIVES FOR DATA CENTERS.

SB 245 eliminates tax exemptions for new data center projects in the state by ending eligibility for tax breaks under Chapters 203 and 219 of the law. It directly affects data center owners, operators, or colocation tenants planning to establish new facilities after July 1, 2026. The bill repeals a provision allowing applications for tax exemptions, making such applications ineligible after the effective date. Existing agreements remain unaffected, as the change only prohibits new applications starting July 1, 2026. This is a procedural tax code adjustment with no new funding or programs.

Topics ✓ Budget & TaxesSupports Budget & TaxesBill closes tax loophole for data centers by eliminating exemptions, aligning with fiscal responsibility and closing tax breaks per indicators.95% confidence

Sub-Topics Business Taxes Tax Incentives

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in committee · Connecticut · Senate Feb 4, 2026

SB 68: AN ACT RESTORING THE RATE OF THE CREDIT AGAINST THE AFFECTED BUSINESS ENTITY TAX.

SB 68 restores a 93.01% tax credit against the "affected business entity tax" by amending Chapter 228z of the general statutes. This bill directly affects businesses subject to the affected business entity tax by increasing the credit they can claim against their tax liability. The key provision changes the credit rate back to 93.01%, reversing a prior reduction. This is a straightforward policy adjustment to the tax code with no additional requirements or new programs.

Topics ✓ Budget & TaxesSupports Budget & TaxesRestores 93.01% tax credit for businesses, reducing tax liability and providing direct tax relief under Budget & Taxes policy.95% confidence

Sub-Topics Business Taxes Tax Credits

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in committee · Connecticut · Senate Feb 4, 2026

SB 39: AN ACT REQUIRING THE INDEXING OF INCOME THRESHOLDS FOR THE PERSONAL INCOME TAX.

SB 39 requires that the income thresholds for the state's personal income tax be automatically adjusted each year based on changes in the consumer price index (CPI). This means tax brackets will rise with inflation, preventing taxpayers from moving into higher tax brackets simply because their income hasn't kept pace with rising costs. The bill directly affects all individuals and households subject to the state's personal income tax by ensuring their tax liability doesn't increase due to inflation alone. The key mechanism is linking threshold adjustments directly to the CPI, creating a permanent, automatic update process without requiring new legislation each year.

Topics ✓ Budget & TaxesSupports Budget & TaxesPrevents inflation-driven tax hikes for middle/lower income by indexing thresholds to CPI, providing tax relief per bill summary.95% confidence

Sub-Topics Business Taxes Income Tax Sales Tax

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in committee · Connecticut · House Feb 4, 2026

HB 5008: AN ACT ESTABLISHING A SMALL BUSINESS TAX CREDIT.

HB 5008 establishes a $2,080 tax credit per full-time equivalent employee for small businesses meeting the U.S. Small Business Administration's definition (typically businesses with fewer than 500 employees). This credit would directly reduce the state tax liability for qualifying small businesses, providing a concrete financial incentive tied to employee count. The bill amends state tax law to implement this credit, which applies to businesses that meet federal SBA criteria. This policy change specifically targets small business employment costs without altering broader tax structures.

Topics ✓ Budget & TaxesSupports Budget & TaxesEstablishes tax credit reducing liability for small businesses, providing direct tax relief per SBA criteria.95% confidence

Sub-Topics Business Taxes Tax Credits Tax Incentives Tags Economic Development Small Business

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in committee · Connecticut · Senate Feb 4, 2026

SB 76: AN ACT ESTABLISHING A CHILD AND DEPENDENT TAX CREDIT AGAINST THE PERSONAL INCOME TAX.

SB 76 creates a $500 tax credit per eligible child or dependent against personal income tax. It directly affects taxpayers with qualifying dependents, including children under 17, disabled dependents or spouses living with them, or seniors 65+ who aren’t a spouse. The credit phases out for single filers and heads of household earning over $200,000, and for married couples filing jointly earning over $400,000, reducing by 10% for each $1,000 of income above those thresholds. This policy provides direct tax relief for families with qualifying dependents while limiting benefits for higher-income households.

Topics ✓ Budget & TaxesSupports Budget & TaxesProvides tax relief for qualifying dependents, reducing tax burden for middle/lower income families with children, aligning with support indicators.95% confidence

Sub-Topics Business Taxes Income Tax Tax Credits

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in committee · Connecticut · House Feb 4, 2026

HB 5014: AN ACT ESTABLISHING AN INFORMATION TECHNOLOGY APPRENTICESHIP TAX CREDIT.

HB 5014 creates a tax credit for businesses that sponsor apprenticeships in information technology. It allows taxpayers to reduce their state income tax liability by a credit for qualified IT apprenticeship programs. The credit applies to apprenticeships started under approved training programs, directly benefiting employers who hire and train IT apprentices. This policy change provides a financial incentive for companies to develop workforce pipelines in technology fields without altering existing tax rates.

Topics ✓ Budget & TaxesSupports Budget & TaxesBill creates a tax credit for businesses, providing tax relief to incentivize IT apprenticeships, directly aligning with tax policy support indicators.95% confidence ✓ Labor & EmploymentSupports Labor & EmploymentCreates tax credit for IT apprenticeships, incentivizing employer training programs to develop skilled workforce, advancing occupational training within labor policy.85% confidence ✓ TechnologySupports TechnologyBill creates tax credit for IT apprenticeships, directly funding workforce development in technology fields through financial incentives for employers.95% confidence

Sub-Topics Business Taxes Tax Credits Tax Incentives Apprenticeships Workforce Development

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in committee · Connecticut · House Feb 6, 2026

HB 5055: AN ACT EXEMPTING HEALTH AND ATHLETIC CLUB SERVICES FROM THE SALES AND USE TAXES.

HB 5055 would exempt health and athletic club services from state sales and use taxes. This bill directly affects health clubs, gyms, and athletic facilities by removing a tax they currently pay on membership and service fees. The key mechanism is amending Chapter 219 of the general statutes to explicitly exclude these services from taxable items. The change would reduce costs for these businesses and their members without altering existing tax rates for other goods or services.

Topics ✗ Budget & TaxesOpposes Budget & TaxesExempts health/athletic clubs from sales tax, reducing state revenue and weakening tax base without offsetting fiscal measures.95% confidence

Sub-Topics Business Taxes Sales Tax

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in committee · Connecticut · House Feb 6, 2026

HB 5070: AN ACT REESTABLISHING THE JOB EXPANSION TAX CREDIT PROGRAM.

HB 5070 reestablishes the Job Expansion Tax Credit Program by amending section 12-217pp of the general statutes. The program provides tax credits to businesses that expand their workforce, reducing their state tax liability for qualifying job growth. This bill directly affects eligible businesses by restoring a tax credit opportunity previously established under the program. The legislation focuses on concrete policy restoration without specifying eligibility details or credit amounts.

Topics ✓ Budget & TaxesSupports Budget & TaxesRestores tax credits for business job growth, reducing state tax liability for qualifying employers per bill's purpose.95% confidence

Sub-Topics Business Taxes Tax Credits Tax Incentives

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in committee · Connecticut · House Feb 13, 2026

HB 5204: AN ACT DEDICATING A PORTION OF THE ROOM OCCUPANCY TAX ON SHORT-TERM RENTAL PROPERTIES TO MUNICIPALITIES.

HB 5204 redirects a portion of the state's room occupancy tax collected from short-term rental properties (like Airbnb or vacation rentals) to the local municipalities where those properties are located. This means cities and towns where short-term rentals operate will receive a share of the tax revenue instead of the funds staying solely with the state. The bill amends existing law to require the state to allocate this specific tax portion directly to the municipalities based on where the rentals are situated, providing them with additional local funding.

Topics ✓ Budget & TaxesSupports Budget & TaxesRedirects existing room occupancy tax revenue to municipalities, increasing local budget allocations and strengthening municipal fiscal management.95% confidence

Sub-Topics Business Taxes Revenue

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