Connecticut House Bill HB05586

Connecticut 2017 Regular Session

• Introduced: 1/12/17
• Refer: 1/12/17

Caption

An Act Making Connecticut More Affordable For College Graduates.

Impact

If passed, HB05586 will amend Title 12 of the general statutes, creating provisions for this tax credit to be claimed over a five-year period. This long-term benefit represents an effort to make Connecticut a more attractive place for young professionals, potentially addressing workforce shortages in critical sectors. By facilitating a favorable environment for recent graduates, the bill seeks not only to support individuals in their transition from education to employment but also to enhance the overall labor pool available to local businesses, thereby fostering economic development in the state.

Summary

House Bill 05586 aims to enhance Connecticut's economic landscape by introducing a personal income tax credit for individuals who have recently graduated from accredited institutions of higher education. The proposed bill is designed to retain college graduates within the state and encourage them to enter the local workforce. The tax credit will be available to those who obtain their degrees after January 1, 2018, and either continue to reside in Connecticut or move to the state within two years of graduation. This incentive is expected to promote higher employment rates among recent graduates and stimulate economic activity by increasing the number of educated individuals working in the state.

Contention

While the bill is largely framed as a positive development for Connecticut's economy, there could be points of contention related to its implementation and fiscal implications. Critics might express concerns regarding the potential budgetary impact of providing tax credits, especially if there is insufficient economic growth to justify the investment in these incentives. Additionally, there may be debates about the fairness of such tax benefits—whether they adequately address equity issues among different demographics and socioeconomic groups within the state. There exists the possibility of a divided opinion in legislative discussions about this bill as stakeholders weigh its prospective benefits against possible disadvantages.