An Act Establishing A Child Tax Credit Against The Personal Income Tax.
Impact
If enacted, SB00085 would amend chapter 229 of the general statutes, introducing a specific tax relief measure for families within the designated income bracket. The introduction of a child tax credit could potentially increase disposable income for eligible families, allowing for greater spending on essential needs such as education and healthcare. This measure aligns with broader state efforts to support working families and reflect a commitment to address child poverty and family welfare within the state's fiscal policies.
Summary
SB00085, proposed by Senator Flexer, aims to establish a child tax credit of $250 against the personal income tax for taxpayers with dependent children under the age of eighteen, and whose federal adjusted gross income (AGI) is less than $120,000. This initiative is a response to increasing concerns over financial burdens faced by families, particularly in the context of rising costs of living. The bill seeks to provide direct financial relief to support families with children, thereby enhancing their fiscal stability.
Contention
Despite its intended benefits, the bill may face opposition regarding its implications for state revenue. Critics could argue that implementing a tax credit could reduce state funding available for essential services, posing challenges to budgeting priorities. Additionally, as the fiscal impact becomes a point of discussion, advocates for alternative financial support systems or relief measures could raise concerns that $250 is insufficient to genuinely address the financial pressures experienced by low-income families. Consequently, discussions around SB00085 may reveal a broader debate on how best to support families while ensuring sustainable state finances.