An Act Establishing A Personal Income Tax Deduction For Stipends Paid To Certain Volunteer Emergency Personnel.
If enacted, HB05034 would amend section 12-701 of the general statutes, allowing qualifying volunteers to deduct stipends received from local municipalities or their respective volunteer organizations directly from their taxable income. This could result in a significant tax relief for volunteer emergency personnel, enabling them to retain more of the stipends they receive for their contributions. Such a tax incentive may encourage greater participation in emergency services and enhance community resilience.
House Bill HB05034 aims to establish a personal income tax deduction for stipends paid to certain volunteer emergency personnel, such as volunteer firefighters, volunteer fire police officers, and volunteer ambulance members. The proposed deduction is capped at $2,000, and it seeks to benefit those who serve in their communities during emergencies by providing a financial incentive for their volunteer work. The bill is intended to recognize the vital role these individuals play in local safety and emergency response efforts.
While the bill has the potential to positively impact volunteer emergency personnel financially, there may be concerns among legislators about the implications for state revenues. Supporters argue that providing tax relief acknowledges the sacrifices of volunteers and encourages community engagement, while critics may perceive it as a loss of necessary tax revenue, potentially affecting funding for other critical state services. Balancing these perspectives will be crucial as discussions around the bill progress.