Connecticut House Bill HB05555

Connecticut 2025 Regular Session

• Introduced: 1/21/25
• Refer: 1/21/25

Caption

An Act Increasing The Amounts Of Tax Credits Allowed And Claimed Under The Neighborhood Assistance Act.

Impact

The implications of HB 05555 are significant for both local businesses and the communities they serve. By increasing the available tax credits, the bill intends to stimulate economic activity within neighborhoods, encouraging businesses to invest in improvements and services that can benefit the local populace. As such, this could lead to increased job creation and enhanced economic stability in various communities across the state. The adjustments proposed facilitate a more robust framework for support under the Neighborhood Assistance Act, which may attract more businesses to participate in community-centered projects.

Summary

House Bill 05555 seeks to amend the Neighborhood Assistance Act by increasing the total amount of tax credits available to business firms from five million dollars to ten million dollars in a fiscal year. Additionally, the bill proposes raising the maximum credit that a single business can claim annually from one hundred fifty thousand dollars to two hundred fifty thousand dollars. This legislative change is aimed at enhancing the support provided to local businesses, fostering their potential to contribute to community development.

Contention

While the bill has garnered support from various stakeholders who advocate for economic development through such financial incentives, there are concerns regarding the allocation of state funds for tax credits. Critics argue that the increased financial commitment to support these credits should be thoroughly evaluated to ensure that it does not detract from funding essential public services. Furthermore, there may be a discussion regarding whether the benefits gained from such tax credits effectively translate to meaningful improvements in the neighborhoods they intend to support.