Connecticut Senate Bill SB00160

Connecticut 2014 Regular Session

• Introduced: 2/18/14
• Refer: 2/18/14

Caption

An Act Concerning The Income Tax Treatment Of Social Security Benefits.

Impact

Should SB00160 be enacted, it would modify Chapter 229 of the general statutes, thereby reshaping the way Social Security benefits are accounted for in personal income tax filings. By increasing eligibility for tax deductions, the bill seeks to lower the overall taxable income for recipients of Social Security, effectively allowing them to retain more of their benefits. This could lead to a modest increase in disposable income for retirees and low-income individuals, helping them manage their financial obligations more effectively.

Summary

SB00160, titled 'An Act Concerning the Income Tax Treatment of Social Security Benefits', aims to amend existing legislation to improve the financial circumstances of individuals receiving Social Security benefits by increasing their eligibility for tax deductions. The proposed changes focus on alleviating the tax burden on these individuals, which is particularly relevant given the rising cost of living and the financial challenges faced by retirees. The bill is positioned as a means to provide necessary financial relief to a vulnerable segment of the population.

Contention

While proponents of SB00160 argue that it is a necessary and beneficial adjustment to help retirees manage their taxes more effectively, it may face opposition on the grounds of state revenue implications. Critics could argue that such tax reductions might reduce state income from taxes at a time when funding for public services is crucial. This debate may influence how stakeholders perceive the balance between providing financial relief to individuals and ensuring that state services remain well-funded.