Budget & Taxes (Income Tax)

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

Track

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

Track

in committee · Connecticut · Senate Feb 4, 2026

SB 71: AN ACT ESTABLISHING A TAX CREDIT FOR PREMIUM PAYMENTS FOR CERTAIN LONG-TERM CARE INSURANCE POLICIES.

SB 71 establishes a state income tax credit for individuals or groups who pay premiums for long-term care insurance policies covering home health care services. It directly affects residents purchasing qualifying long-term care insurance that provides benefits for care received in their homes. The bill allows taxpayers to reduce their state income tax liability by the amount paid in premiums for these specific policies. This policy change provides a financial incentive for securing home-based long-term care coverage.

Topics ✓ Budget & TaxesSupports Budget & TaxesProvides tax credit reducing state income tax liability for qualifying long-term care insurance premiums, offering direct tax relief.95% confidence ✓ HealthcareSupports HealthcareBill creates tax credit for long-term care insurance premiums, directly expanding access to home health care coverage by reducing costs for consumers, advancing healthcare access.95% confidence

Sub-Topics Income Tax Procurement Tax Credits Insurance Long-Term Care

Track

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

Track

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

Track

in committee · Connecticut · Senate Feb 17, 2026

SB 197: AN ACT PROVIDING A FAMILY CAREGIVER TAX CREDIT.

SB 197 creates a new tax credit for family caregivers who pay for the care and support of elderly relatives. It directly affects adult children or other relatives providing unpaid care to older family members. The bill provides a credit against state income tax for eligible out-of-pocket expenses related to that care, such as medical supplies or in-home assistance. This policy change offers financial relief to caregivers by reducing their state tax burden for specific caregiving costs.

Topics ✓ Budget & TaxesSupports Budget & TaxesCreates tax credit reducing state income tax burden for caregivers, providing direct financial relief to middle-income families through tax reduction.95% confidence

Sub-Topics Income Tax Tax Credits Tags Seniors

Track

in committee · Connecticut · House Feb 4, 2026

HB 5019: AN ACT ESTABLISHING A PERSONAL INCOME TAX DEDUCTION FOR FULL-TIME HOME HEALTH CARE COSTS.

HB 5019 would create a personal income tax deduction of up to $60,000 for individuals paying full-time home health care costs, including medical supplies and in-home services. This deduction directly affects residents who cover these expenses for themselves or qualifying family members needing ongoing care at home. The bill amends tax law to allow this deduction, limiting it to the specified annual cap. It does not change existing tax rates or create new government programs, only offering a potential tax reduction for eligible households.

Topics ✓ Budget & TaxesSupports Budget & TaxesCreates tax deduction for home health care costs, reducing taxable income and providing relief for middle/lower-income residents.95% confidence ✓ HealthcareSupports HealthcareCreates tax deduction for home health care costs, reducing financial barriers to accessing care and improving affordability of essential health services.92% confidence

Sub-Topics Income Tax

Track

in committee · Connecticut · Senate Feb 6, 2026

SB 95: AN ACT ESTABLISHING A CREDIT AGAINST THE PERSONAL INCOME TAX FOR CERTAIN EMPLOYEES OF DEFENSE CONTRACTORS AND OF DIRECT SUPPLIERS AND SUBCONTRACTORS OF DEFENSE CONTRACTORS.

SB 95 creates a $500 credit against personal income tax for employees working at defense contractors or their direct suppliers/subcontractors. To qualify, individuals must earn under $125,000 annually as single filers or under $250,000 as married couples filing jointly. The credit directly benefits lower-to-moderate income workers in the defense supply chain by reducing their state tax burden. This is a specific tax incentive targeting employees in defense-related industries, not a general tax cut. The bill establishes this credit through an amendment to existing tax law.

Topics ✓ Budget & TaxesSupports Budget & TaxesProvides $500 tax credit for defense workers under income limits, reducing state tax burden for lower-to-moderate earners per bill summary.95% confidence ✓ Labor & EmploymentSupports Labor & EmploymentProvides $500 tax credit to defense workers earning under $125k/$250k, increasing disposable income for qualifying employees in labor-intensive industry.85% confidence

Sub-Topics Income Tax Tax Credits Tax Incentives

Track

in committee · Connecticut · House Feb 10, 2026

HB 5131: AN ACT ESTABLISHING A PERSONAL INCOME TAX DEDUCTION FOR PRINCIPAL AND INTEREST PAID ON POSTSECONDARY EDUCATION LOANS.

HB 5131 would create a personal income tax deduction of up to $10,000 annually for taxpayers who pay principal and interest on postsecondary education loans. This deduction directly affects individuals with student loan debt who file state income taxes. The bill establishes this as a specific line-item deduction in the state tax code, reducing taxable income by the amount paid toward qualifying loans. It applies to both the principal and interest portions of the loan payments made during a taxable year. The policy change aims to provide tax relief for borrowers without specifying income thresholds or other eligibility conditions.

Topics ✓ Budget & TaxesSupports Budget & TaxesCreates $10k annual tax deduction for student loan payments, reducing taxable income for borrowers - direct tax relief for middle-income individuals.95% confidence ✓ EducationSupports EducationProvides tax deduction for student loan payments, reducing financial barriers to higher education access and supporting postsecondary affordability.95% confidence

Sub-Topics Debt & Bonds Income Tax Student Financial Aid

Track

in committee · Connecticut · House Feb 11, 2026

HB 5185: AN ACT ESTABLISHING A CAPITAL GAINS AND DIVIDENDS SURCHARGE.

HB 5185 would impose a surcharge on capital gains and dividends for Connecticut taxpayers with adjusted gross income meeting the threshold for the state's highest marginal income tax rate. It directly affects high-income earners subject to Connecticut's top tax bracket, specifically targeting net gains from selling investments and dividend income. The bill amends state tax law to add this surcharge to the existing tax calculation for qualifying taxpayers. The policy change is a direct revenue measure applying only to those already paying the highest rate on ordinary income.

Topics ✓ Budget & TaxesSupports Budget & TaxesImposes surcharge on high-income capital gains/dividends to increase state revenue, directly advancing fiscal management and budget funding.95% confidence

Sub-Topics Fees & Licensing Income Tax

Track