Connecticut House Bill HB05095

Connecticut 2019 Regular Session

• Introduced: 1/10/19
• Refer: 1/10/19

Caption

An Act Phasing Out The Estate Tax Over Ten Years.

Impact

The phasing out of the estate tax will have broad implications for state revenue, likely leading to a decrease in funds collected from estates, which can be seen as a significant source of tax revenue for the state. Supporters of the bill argue that the reduction in this tax will encourage economic activity, as families will have more wealth to invest and spend. Conversely, opponents may express concerns regarding potential budget deficits that could arise from this reduction in state income, as well as the implications for services funded by these taxes.

Summary

House Bill 05095 proposes to phase out the estate tax over a period of ten years. The primary purpose of this bill is to alleviate the tax burden on estates, allowing individuals to pass on wealth to their heirs and beneficiaries without the imposition of significant taxation. This change is seen as a move towards increasing financial freedom for families, particularly for those who may be impacted by estate taxes upon the death of a family member. By transitioning away from estate taxation, the bill seeks to enhance the financial landscape for future generations and simplify the inheritance process.

Contention

Debate surrounding HB 05095 is likely to center on the fairness and equity of estate taxes versus the benefits of their removal. Advocates for the bill may point to the need for tax relief, particularly for middle and lower-income families who are affected by the current structure of estate taxes. Opponents may argue that such tax breaks primarily benefit the wealthiest individuals, further exacerbating economic inequality. The discussion will revolve around the balance between providing tax relief to individuals and maintaining sufficient state revenue to support public services.