Connecticut Senate Bill SB00735

Connecticut 2015 Regular Session

• Introduced: 1/23/15
• Refer: 1/23/15

Caption

An Act Increasing The Amount Of The Personal Exemption Under The State Income Tax.

Impact

This legislation is poised to provide significant tax relief to lower-income individuals and couples within the state. By exempting those who earn seventy-five thousand dollars or less from personal income tax, the bill aims to alleviate financial burdens on a demographic that may struggle with varying economic situations. This personal exemption would not only influence tax liability but also align with broader initiatives to enhance financial equity among state residents, particularly in times of economic difficulty.

Summary

SB00735 is a legislative proposal aimed at increasing the personal exemption under the state income tax for individuals earning seventy-five thousand dollars or less. The bill proposes that for taxable years commencing on or after January 1, 2016, individuals who file as unmarried or as married individuals filing separately will benefit from a higher personal exemption amount of seventy-five thousand dollars. Furthermore, the bill stipulates that the exemption amount for couples filing jointly will be adjusted accordingly to reflect this change.

Contention

Discussions surrounding SB00735 could involve points of contention regarding the impact on state revenue versus the benefits of tax relief. Proponents of the bill may argue that increasing the personal exemption is a necessary step toward supporting low- to middle-income taxpayers who face high living costs. Conversely, opponents might express concerns about potential shortfalls in state revenue that could arise from implementing such tax relief measures, potentially affecting funding for public services. This balance of tax relief and revenue generation is likely to be a key topic in discussions as the bill moves through the legislative process.