Connecticut 2025 Regular Session

Connecticut House Bill HB07055 Compare Versions

Version 1 (Old)

Version 2 (New)

Old	New		Differences
1	1
2	2
3		-	LCO 5062 1 of 13
	3	+	LCO No. 5062 1 of 14
4	4
5	5		General Assembly Raised Bill No. 7055
6	6		January Session, 2025
7	7		LCO No. 5062
8	8
9	9
10	10		Referred to Committee on PUBLIC SAFETY AND SECURITY
11	11
12	12
13	13		Introduced by:
14	14		(PS)
	15	+
15	16
16	17
17	18
18	19		AN ACT CONCERNING A MUNICIPAL TAX ABATEMENT FOR
19	20		SURVIVING DOMESTIC PARTNERS OF POLICE OFFICERS,
20	21		FIREFIGHTERS AND EMERGENCY MEDICAL TECHNICIANS AND
21	22		ALLOWING A PERSONAL INCOME TAX DEDUCTION FOR STIPENDS
22	23		PAID TO VOLUNTEER FIREFIGHTERS, VOLUNTEER FIRE POLICE
23	24		OFFICERS AND VOLUNTEER AMBULANCE MEMBERS.
24	25		Be it enacted by the Senate and House of Representatives in General
25	26		Assembly convened:
26	27
27	28		Section 1. Section 12-81x of the general statutes is repealed and the 1
28	29		following is substituted in lieu thereof (Effective October 1, 2025): 2
29	30		The legislative body of any municipality may establish, by ordinance, 3
30	31		a program to abate all or a portion of the property taxes due with respect 4
31	32		to real property owned and occupied as the principal residence of the 5
32	33		surviving spouse or domestic partner, as defined by such ordinance, of 6
33	34		a police officer, firefighter or emergency medical technician who dies 7
34	35		while in the performance of such officer's, firefighter's or technician's 8
35	36		duties. 9
36	37		Sec. 2. Subparagraph (B) of subdivision (20) of subsection (a) of 10
37		-	section 12-701 of the general statutes is repealed and the following is 11 Raised Bill No. 7055
	38	+	section 12-701 of the general statutes is repealed and the following is 11
	39	+	Raised Bill No. 7055
38	40
39	41
40		-	LCO 5062 2 of 13
	42	+
	43	+	LCO No. 5062 2 of 14
41	44
42	45		substituted in lieu thereof (Effective January 1, 2026, and applicable to 12
43	46		taxable years commencing on or after January 1, 2026): 13
44	47		(B) There shall be subtracted therefrom: 14
45	48		(i) To the extent properly includable in gross income for federal 15
46	49		income tax purposes, any income with respect to which taxation by any 16
47	50		state is prohibited by federal law; 17
48	51		(ii) To the extent allowable under section 12-718, exempt dividends 18
49	52		paid by a regulated investment company; 19
50	53		(iii) To the extent properly includable in gross income for federal 20
51	54		income tax purposes, the amount of any refund or credit for 21
52	55		overpayment of income taxes imposed by this state, or any other state 22
53	56		of the United States or a political subdivision thereof, or the District of 23
54	57		Columbia; 24
55	58		(iv) To the extent properly includable in gross income for federal 25
56	59		income tax purposes and not otherwise subtracted from federal 26
57	60		adjusted gross income pursuant to clause (x) of this subparagraph in 27
58	61		computing Connecticut adjusted gross income, any tier 1 railroad 28
59	62		retirement benefits; 29
60	63		(v) To the extent any additional allowance for depreciation under 30
61	64		Section 168(k) of the Internal Revenue Code for property placed in 31
62	65		service after September 27, 2017, was added to federal adjusted gross 32
63	66		income pursuant to subparagraph (A)(ix) of this subdivision in 33
64	67		computing Connecticut adjusted gross income, twenty-five per cent of 34
65	68		such additional allowance for depreciation in each of the four 35
66	69		succeeding taxable years; 36
67	70		(vi) To the extent properly includable in gross income for federal 37
68	71		income tax purposes, any interest income from obligations issued by or 38
69	72		on behalf of the state of Connecticut, any political subdivision thereof, 39
70	73		or public instrumentality, state or local authority, district or similar 40
71		-	~~public entity created under the laws of the state of Connecticut; 41~~ Raised Bill No. 7055
	74	+	Raised Bill No. 7055
72	75
73	76
74		-	LCO 5062 3 of 13
75	77
	78	+	LCO No. 5062 3 of 14
	79	+
	80	+	public entity created under the laws of the state of Connecticut; 41
76	81		(vii) To the extent properly includable in determining the net gain or 42
77	82		loss from the sale or other disposition of capital assets for federal income 43
78	83		tax purposes, any gain from the sale or exchange of obligations issued 44
79	84		by or on behalf of the state of Connecticut, any political subdivision 45
80	85		thereof, or public instrumentality, state or local authority, district or 46
81	86		similar public entity created under the laws of the state of Connecticut, 47
82	87		in the income year such gain was recognized; 48
83	88		(viii) Any interest on indebtedness incurred or continued to purchase 49
84	89		or carry obligations or securities the interest on which is subject to tax 50
85	90		under this chapter but exempt from federal income tax, to the extent that 51
86	91		such interest on indebtedness is not deductible in determining federal 52
87	92		adjusted gross income and is attributable to a trade or business carried 53
88	93		on by such individual; 54
89	94		(ix) Ordinary and necessary expenses paid or incurred during the 55
90	95		taxable year for the production or collection of income which is subject 56
91	96		to taxation under this chapter but exempt from federal income tax, or 57
92	97		the management, conservation or maintenance of property held for the 58
93	98		production of such income, and the amortizable bond premium for the 59
94	99		taxable year on any bond the interest on which is subject to tax under 60
95	100		this chapter but exempt from federal income tax, to the extent that such 61
96	101		expenses and premiums are not deductible in determining federal 62
97	102		adjusted gross income and are attributable to a trade or business carried 63
98	103		on by such individual; 64
99	104		(x) (I) For taxable years commencing prior to January 1, 2019, for a 65
100	105		person who files a return under the federal income tax as an unmarried 66
101	106		individual whose federal adjusted gross income for such taxable year is 67
102	107		less than fifty thousand dollars, or as a married individual filing 68
103	108		separately whose federal adjusted gross income for such taxable year is 69
104	109		less than fifty thousand dollars, or for a husband and wife who file a 70
105	110		return under the federal income tax as married individuals filing jointly 71
	111	+	Raised Bill No. 7055
	112	+
	113	+
	114	+
	115	+	LCO No. 5062 4 of 14
	116	+
106	117		whose federal adjusted gross income for such taxable year is less than 72
107	118		sixty thousand dollars or a person who files a return under the federal 73
108		-	income tax as a head of household whose federal adjusted gross income 74 Raised Bill No. 7055
109		-
110		-
111		-	LCO 5062 4 of 13
112		-
	119	+	income tax as a head of household whose federal adjusted gross income 74
113	120		for such taxable year is less than sixty thousand dollars, an amount 75
114	121		equal to the Social Security benefits includable for federal income tax 76
115	122		purposes; 77
116	123		(II) For taxable years commencing prior to January 1, 2019, for a 78
117	124		person who files a return under the federal income tax as an unmarried 79
118	125		individual whose federal adjusted gross income for such taxable year is 80
119	126		fifty thousand dollars or more, or as a married individual filing 81
120	127		separately whose federal adjusted gross income for such taxable year is 82
121	128		fifty thousand dollars or more, or for a husband and wife who file a 83
122	129		return under the federal income tax as married individuals filing jointly 84
123	130		whose federal adjusted gross income from such taxable year is sixty 85
124	131		thousand dollars or more or for a person who files a return under the 86
125	132		federal income tax as a head of household whose federal adjusted gross 87
126	133		income for such taxable year is sixty thousand dollars or more, an 88
127	134		amount equal to the difference between the amount of Social Security 89
128	135		benefits includable for federal income tax purposes and the lesser of 90
129	136		twenty-five per cent of the Social Security benefits received during the 91
130	137		taxable year, or twenty-five per cent of the excess described in Section 92
131	138		86(b)(1) of the Internal Revenue Code; 93
132	139		(III) For the taxable year commencing January 1, 2019, and each 94
133	140		taxable year thereafter, for a person who files a return under the federal 95
134	141		income tax as an unmarried individual whose federal adjusted gross 96
135	142		income for such taxable year is less than seventy-five thousand dollars, 97
136	143		or as a married individual filing separately whose federal adjusted gross 98
137	144		income for such taxable year is less than seventy-five thousand dollars, 99
138	145		or for a husband and wife who file a return under the federal income tax 100
139	146		as married individuals filing jointly whose federal adjusted gross 101
140	147		income for such taxable year is less than one hundred thousand dollars 102
141	148		or a person who files a return under the federal income tax as a head of 103
142	149		household whose federal adjusted gross income for such taxable year is 104
	150	+	Raised Bill No. 7055
	151	+
	152	+
	153	+
	154	+	LCO No. 5062 5 of 14
	155	+
143	156		less than one hundred thousand dollars, an amount equal to the Social 105
144	157		Security benefits includable for federal income tax purposes; and 106
145		-	(IV) For the taxable year commencing January 1, 2019, and each 107 Raised Bill No. 7055
146		-
147		-
148		-	LCO 5062 5 of 13
149		-
	158	+	(IV) For the taxable year commencing January 1, 2019, and each 107
150	159		taxable year thereafter, for a person who files a return under the federal 108
151	160		income tax as an unmarried individual whose federal adjusted gross 109
152	161		income for such taxable year is seventy-five thousand dollars or more, 110
153	162		or as a married individual filing separately whose federal adjusted gross 111
154	163		income for such taxable year is seventy-five thousand dollars or more, 112
155	164		or for a husband and wife who file a return under the federal income tax 113
156	165		as married individuals filing jointly whose federal adjusted gross 114
157	166		income from such taxable year is one hundred thousand dollars or more 115
158	167		or for a person who files a return under the federal income tax as a head 116
159	168		of household whose federal adjusted gross income for such taxable year 117
160	169		is one hundred thousand dollars or more, an amount equal to the 118
161	170		difference between the amount of Social Security benefits includable for 119
162	171		federal income tax purposes and the lesser of twenty-five per cent of the 120
163	172		Social Security benefits received during the taxable year, or twenty-five 121
164	173		per cent of the excess described in Section 86(b)(1) of the Internal 122
165	174		Revenue Code; 123
166	175		(xi) To the extent properly includable in gross income for federal 124
167	176		income tax purposes, any amount rebated to a taxpayer pursuant to 125
168	177		section 12-746; 126
169	178		(xii) To the extent properly includable in the gross income for federal 127
170	179		income tax purposes of a designated beneficiary, any distribution to 128
171	180		such beneficiary from any qualified state tuition program, as defined in 129
172	181		Section 529(b) of the Internal Revenue Code, established and 130
173	182		maintained by this state or any official, agency or instrumentality of the 131
174	183		state; 132
175	184		(xiii) To the extent allowable under section 12-701a, contributions to 133
176	185		accounts established pursuant to any qualified state tuition program, as 134
177	186		defined in Section 529(b) of the Internal Revenue Code, established and 135
	187	+	Raised Bill No. 7055
	188	+
	189	+
	190	+
	191	+	LCO No. 5062 6 of 14
	192	+
178	193		maintained by this state or any official, agency or instrumentality of the 136
179	194		state; 137
180	195		(xiv) To the extent properly includable in gross income for federal 138
181		-	income tax purposes, the amount of any Holocaust victims' settlement 139 Raised Bill No. 7055
182		-
183		-
184		-	LCO 5062 6 of 13
185		-
	196	+	income tax purposes, the amount of any Holocaust victims' settlement 139
186	197		payment received in the taxable year by a Holocaust victim; 140
187	198		(xv) To the extent properly includable in the gross income for federal 141
188	199		income tax purposes of a designated beneficiary, as defined in section 142
189	200		3-123aa, interest, dividends or capital gains earned on contributions to 143
190	201		accounts established for the designated beneficiary pursuant to the 144
191	202		Connecticut Homecare Option Program for the Elderly established by 145
192	203		sections 3-123aa to 3-123ff, inclusive; 146
193	204		(xvi) To the extent properly includable in gross income for federal 147
194	205		income tax purposes, any income received from the United States 148
195	206		government as retirement pay for a retired member of (I) the Armed 149
196	207		Forces of the United States, as defined in Section 101 of Title 10 of the 150
197	208		United States Code, or (II) the National Guard, as defined in Section 101 151
198	209		of Title 10 of the United States Code; 152
199	210		(xvii) To the extent properly includable in gross income for federal 153
200	211		income tax purposes for the taxable year, any income from the discharge 154
201	212		of indebtedness in connection with any reacquisition, after December 155
202	213		31, 2008, and before January 1, 2011, of an applicable debt instrument or 156
203	214		instruments, as those terms are defined in Section 108 of the Internal 157
204	215		Revenue Code, as amended by Section 1231 of the American Recovery 158
205	216		and Reinvestment Act of 2009, to the extent any such income was added 159
206	217		to federal adjusted gross income pursuant to subparagraph (A)(xi) of 160
207	218		this subdivision in computing Connecticut adjusted gross income for a 161
208	219		preceding taxable year; 162
209	220		(xviii) To the extent not deductible in determining federal adjusted 163
210	221		gross income, the amount of any contribution to a manufacturing 164
211	222		reinvestment account established pursuant to section 32-9zz in the 165
212	223		taxable year that such contribution is made; 166
	224	+	Raised Bill No. 7055
	225	+
	226	+
	227	+
	228	+	LCO No. 5062 7 of 14
	229	+
213	230		(xix) To the extent properly includable in gross income for federal 167
214	231		income tax purposes, (I) for the taxable year commencing January 1, 168
215	232		2015, ten per cent of the income received from the state teachers' 169
216	233		retirement system, (II) for the taxable years commencing January 1, 170
217		-	2016, to January 1, 2020, inclusive, twenty-five per cent of the income 171 Raised Bill No. 7055
218		-
219		-
220		-	LCO 5062 7 of 13
221		-
	234	+	2016, to January 1, 2020, inclusive, twenty-five per cent of the income 171
222	235		received from the state teachers' retirement system, and (III) for the 172
223	236		taxable year commencing January 1, 2021, and each taxable year 173
224	237		thereafter, fifty per cent of the income received from the state teachers' 174
225	238		retirement system or, for a taxpayer whose federal adjusted gross 175
226	239		income does not exceed the applicable threshold under clause (xx) of 176
227	240		this subparagraph, the percentage pursuant to said clause of the income 177
228	241		received from the state teachers' retirement system, whichever 178
229	242		deduction is greater; 179
230	243		(xx) To the extent properly includable in gross income for federal 180
231	244		income tax purposes, except for retirement benefits under clause (iv) of 181
232	245		this subparagraph and retirement pay under clause (xvi) of this 182
233	246		subparagraph, for a person who files a return under the federal income 183
234	247		tax as an unmarried individual whose federal adjusted gross income for 184
235	248		such taxable year is less than seventy-five thousand dollars, or as a 185
236	249		married individual filing separately whose federal adjusted gross 186
237	250		income for such taxable year is less than seventy-five thousand dollars, 187
238	251		or as a head of household whose federal adjusted gross income for such 188
239	252		taxable year is less than seventy-five thousand dollars, or for a husband 189
240	253		and wife who file a return under the federal income tax as married 190
241	254		individuals filing jointly whose federal adjusted gross income for such 191
242	255		taxable year is less than one hundred thousand dollars, (I) for the taxable 192
243	256		year commencing January 1, 2019, fourteen per cent of any pension or 193
244	257		annuity income, (II) for the taxable year commencing January 1, 2020, 194
245	258		twenty-eight per cent of any pension or annuity income, (III) for the 195
246	259		taxable year commencing January 1, 2021, forty-two per cent of any 196
247	260		pension or annuity income, and (IV) for the taxable years commencing 197
248	261		January 1, 2022, and January 1, 2023, one hundred per cent of any 198
249	262		pension or annuity income; 199
	263	+	Raised Bill No. 7055
	264	+
	265	+
	266	+
	267	+	LCO No. 5062 8 of 14
	268	+
250	269		(xxi) To the extent properly includable in gross income for federal 200
251	270		income tax purposes, except for retirement benefits under clause (iv) of 201
252	271		this subparagraph and retirement pay under clause (xvi) of this 202
253	272		subparagraph, any pension or annuity income for the taxable year 203
254	273		commencing on or after January 1, 2024, and each taxable year 204
255		-	thereafter, in accordance with the following schedule, for a person who 205 Raised Bill No. 7055
256		-
257		-
258		-	LCO 5062 8 of 13
259		-
	274	+	thereafter, in accordance with the following schedule, for a person who 205
260	275		files a return under the federal income tax as an unmarried individual 206
261	276		whose federal adjusted gross income for such taxable year is less than 207
262	277		one hundred thousand dollars, or as a married individual filing 208
263	278		separately whose federal adjusted gross income for such taxable year is 209
264	279		less than one hundred thousand dollars, or as a head of household 210
265	280		whose federal adjusted gross income for such taxable year is less than 211
266	281		one hundred thousand dollars: 212
267	282		T1
268	283		Federal Adjusted Gross Income Deduction
269		-	T2 Less than $75,000 100.0%
270		-	T3 $75,000 but not over $77,499 85.0%
	284	+	T2
	285	+	Less than $75,000 100.0%
	286	+	T3
	287	+	$75,000 but not over $77,499 85.0%
271	288		T4
272	289		$77,500 but not over $79,999 70.0%
273		-	T5
274		-	$80,000 but not over $82,499 55.0%
275		-	T6
276		-	$82,500 but not over $84,999 40.0%
	290	+	T5 $80,000 but not over $82,499 55.0%
	291	+	T6 $82,500 but not over $84,999 40.0%
277	292		T7
278	293		$85,000 but not over $87,499 25.0%
279	294		T8
280	295		$87,500 but not over $89,999 10.0%
281	296		T9
282	297		$90,000 but not over $94,999 5.0%
283	298		T10
284	299		$95,000 but not over $99,999 2.5%
285		-	T11 $100,000 and over 0.0%
	300	+	T11
	301	+	$100,000 and over 0.0%
286	302
287	303		(xxii) To the extent properly includable in gross income for federal 213
288	304		income tax purposes, except for retirement benefits under clause (iv) of 214
289	305		this subparagraph and retirement pay under clause (xvi) of this 215
290	306		subparagraph, any pension or annuity income for the taxable year 216
291	307		commencing on or after January 1, 2024, and each taxable year 217
292	308		thereafter, in accordance with the following schedule for married 218
293	309		individuals who file a return under the federal income tax as married 219
	310	+	Raised Bill No. 7055
	311	+
	312	+
	313	+
	314	+	LCO No. 5062 9 of 14
	315	+
294	316		individuals filing jointly whose federal adjusted gross income for such 220
295	317		taxable year is less than one hundred fifty thousand dollars: 221
296	318		T12
297	319		Federal Adjusted Gross Income Deduction
298	320		T13
299	321		Less than $100,000 100.0%
300	322		T14
301	323		$100,000 but not over $104,999 85.0%
302	324		T15
303		-	$105,000 but not over $109,999 70.0% Raised Bill No. 7055
304		-
305		-
306		-	LCO 5062 9 of 13
307		-
	325	+	$105,000 but not over $109,999 70.0%
308	326		T16
309	327		$110,000 but not over $114,999 55.0%
310	328		T17
311	329		$115,000 but not over $119,999 40.0%
312	330		T18
313	331		$120,000 but not over $124,999 25.0%
314		-	T19
315		-	$125,000 but not over $129,999 10.0%
	332	+	T19 $125,000 but not over $129,999 10.0%
316	333		T20
317	334		$130,000 but not over $139,999 5.0%
318	335		T21
319	336		$140,000 but not over $149,999 2.5%
320	337		T22
321	338		$150,000 and over 0.0%
322	339
323	340		(xxiii) The amount of lost wages and medical, travel and housing 222
324	341		expenses, not to exceed ten thousand dollars in the aggregate, incurred 223
325	342		by a taxpayer during the taxable year in connection with the donation 224
326	343		to another person of an organ for organ transplantation occurring on or 225
327	344		after January 1, 2017; 226
328	345		(xxiv) To the extent properly includable in gross income for federal 227
329	346		income tax purposes, the amount of any financial assistance received 228
330	347		from the Crumbling Foundations Assistance Fund or paid to or on 229
331	348		behalf of the owner of a residential building pursuant to sections 8-442 230
332	349		and 8-443; 231
333	350		(xxv) To the extent properly includable in gross income for federal 232
334	351		income tax purposes, the amount calculated pursuant to subsection (b) 233
335	352		of section 12-704g for income received by a general partner of a venture 234
336	353		capital fund, as defined in 17 CFR 275.203(l)-1, as amended from time to 235
337	354		time; 236
338	355		(xxvi) To the extent any portion of a deduction under Section 179 of 237
	356	+	Raised Bill No. 7055
	357	+
	358	+
	359	+
	360	+	LCO No. 5062 10 of 14
	361	+
339	362		the Internal Revenue Code was added to federal adjusted gross income 238
340	363		pursuant to subparagraph (A)(xiv) of this subdivision in computing 239
341	364		Connecticut adjusted gross income, twenty-five per cent of such 240
342	365		disallowed portion of the deduction in each of the four succeeding 241
343	366		taxable years; 242
344	367		(xxvii) To the extent properly includable in gross income for federal 243
345	368		income tax purposes, for a person who files a return under the federal 244
346		-	income tax as an unmarried individual whose federal adjusted gross 245 Raised Bill No. 7055
347		-
348		-
349		-	LCO 5062 10 of 13
350		-
	369	+	income tax as an unmarried individual whose federal adjusted gross 245
351	370		income for such taxable year is less than seventy-five thousand dollars, 246
352	371		or as a married individual filing separately whose federal adjusted gross 247
353	372		income for such taxable year is less than seventy-five thousand dollars, 248
354	373		or as a head of household whose federal adjusted gross income for such 249
355	374		taxable year is less than seventy-five thousand dollars, or for a husband 250
356	375		and wife who file a return under the federal income tax as married 251
357	376		individuals filing jointly whose federal adjusted gross income for such 252
358	377		taxable year is less than one hundred thousand dollars, for the taxable 253
359	378		year commencing January 1, 2023, twenty-five per cent of any 254
360	379		distribution from an individual retirement account other than a Roth 255
361	380		individual retirement account; 256
362	381		(xxviii) To the extent properly includable in gross income for federal 257
363	382		income tax purposes, for a person who files a return under the federal 258
364	383		income tax as an unmarried individual whose federal adjusted gross 259
365	384		income for such taxable year is less than one hundred thousand dollars, 260
366	385		or as a married individual filing separately whose federal adjusted gross 261
367	386		income for such taxable year is less than one hundred thousand dollars, 262
368	387		or as a head of household whose federal adjusted gross income for such 263
369	388		taxable year is less than one hundred thousand dollars, (I) for the taxable 264
370	389		year commencing January 1, 2024, fifty per cent of any distribution from 265
371	390		an individual retirement account other than a Roth individual 266
372	391		retirement account, (II) for the taxable year commencing January 1, 2025, 267
373	392		seventy-five per cent of any distribution from an individual retirement 268
374	393		account other than a Roth individual retirement account, and (III) for 269
375	394		the taxable year commencing January 1, 2026, and each taxable year 270
	395	+	Raised Bill No. 7055
	396	+
	397	+
	398	+
	399	+	LCO No. 5062 11 of 14
	400	+
376	401		thereafter, any distribution from an individual retirement account other 271
377	402		than a Roth individual retirement account. The subtraction under this 272
378	403		clause shall be made in accordance with the following schedule: 273
379	404		T23
380	405		Federal Adjusted Gross Income Deduction
381	406		T24
382	407		Less than $75,000 100.0%
383	408		T25
384	409		$75,000 but not over $77,499 85.0%
385	410		T26
386	411		$77,500 but not over $79,999 70.0%
387		-	T27 $80,000 but not over $82,499 55.0% Raised Bill No. 7055
388		-
389		-
390		-	LCO 5062 11 of 13
391		-
	412	+	T27
	413	+	$80,000 but not over $82,499 55.0%
392	414		T28
393	415		$82,500 but not over $84,999 40.0%
394		-	T29
395		-	$85,000 but not over $87,499 25.0%
	416	+	T29 $85,000 but not over $87,499 25.0%
396	417		T30
397	418		$87,500 but not over $89,999 10.0%
398	419		T31
399	420		$90,000 but not over $94,999 5.0%
400	421		T32
401	422		$95,000 but not over $99,999 2.5%
402	423		T33
403	424		$100,000 and over 0.0%
404	425
405	426		(xxix) To the extent properly includable in gross income for federal 274
406	427		income tax purposes, for married individuals who file a return under 275
407	428		the federal income tax as married individuals filing jointly whose 276
408	429		federal adjusted gross income for such taxable year is less than one 277
409	430		hundred fifty thousand dollars, (I) for the taxable year commencing 278
410	431		January 1, 2024, fifty per cent of any distribution from an individual 279
411	432		retirement account other than a Roth individual retirement account, (II) 280
412	433		for the taxable year commencing January 1, 2025, seventy-five per cent 281
413	434		of any distribution from an individual retirement account other than a 282
414	435		Roth individual retirement account, and (III) for the taxable year 283
415	436		commencing January 1, 2026, and each taxable year thereafter, any 284
416	437		distribution from an individual retirement account other than a Roth 285
417	438		individual retirement account. The subtraction under this clause shall 286
418	439		be made in accordance with the following schedule: 287
419	440		T34
420	441		Federal Adjusted Gross Income Deduction
421	442		T35
422	443		Less than $100,000 100.0%
423		-	T36
424		-	$100,000 but not over $104,999 85.0%
	444	+	Raised Bill No. 7055
	445	+
	446	+
	447	+
	448	+	LCO No. 5062 12 of 14
	449	+
	450	+	T36 $100,000 but not over $104,999 85.0%
425	451		T37
426	452		$105,000 but not over $109,999 70.0%
427		-	T38 $110,000 but not over $114,999 55.0%
	453	+	T38
	454	+	$110,000 but not over $114,999 55.0%
428	455		T39
429	456		$115,000 but not over $119,999 40.0%
430	457		T40
431	458		$120,000 but not over $124,999 25.0%
432	459		T41
433	460		$125,000 but not over $129,999 10.0%
434	461		T42
435	462		$130,000 but not over $139,999 5.0%
436	463		T43
437	464		$140,000 but not over $149,999 2.5%
438		-	T44
439		-	$150,000 and over 0.0%
440		-	Raised Bill No. 7055
441		-
442		-
443		-	LCO 5062 12 of 13
	465	+	T44 $150,000 and over 0.0%
444	466
445	467		(xxx) To the extent properly includable in gross income for federal 288
446	468		income tax purposes, for the taxable year commencing January 1, 2022, 289
447	469		the amount or amounts paid or otherwise credited to any eligible 290
448	470		resident of this state under (I) the 2020 Earned Income Tax Credit 291
449	471		enhancement program from funding allocated to the state through the 292
450	472		Coronavirus Relief Fund established under the Coronavirus Aid, Relief, 293
451	473		and Economic Security Act, P.L. 116-136, and (II) the 2021 Earned 294
452	474		Income Tax Credit enhancement program from funding allocated to the 295
453	475		state pursuant to Section 9901 of Subtitle M of Title IX of the American 296
454	476		Rescue Plan Act of 2021, P.L. 117-2; 297
455	477		(xxxi) For the taxable year commencing January 1, 2023, and each 298
456	478		taxable year thereafter, for a taxpayer licensed under the provisions of 299
457	479		chapter 420f or 420h, the amount of ordinary and necessary expenses 300
458	480		that would be eligible to be claimed as a deduction for federal income 301
459	481		tax purposes under Section 162(a) of the Internal Revenue Code but that 302
460	482		are disallowed under Section 280E of the Internal Revenue Code 303
461	483		because marijuana is a controlled substance under the federal 304
462	484		Controlled Substance Act; 305
463	485		(xxxii) To the extent properly includable in gross income for federal 306
464	486		income tax purposes, for the taxable year commencing on or after 307
465	487		January 1, 2025, and each taxable year thereafter, any common stock 308
466	488		received by the taxpayer during the taxable year under a share plan, as 309
	489	+	Raised Bill No. 7055
	490	+
	491	+
	492	+
	493	+	LCO No. 5062 13 of 14
	494	+
467	495		defined in section 12-217ss; 310
468	496		(xxxiii) To the extent properly includable in gross income for federal 311
469	497		income tax purposes, the amount of any student loan reimbursement 312
470	498		payment received by a taxpayer pursuant to section 10a-19m; 313
471	499		(xxxiv) Contributions to an ABLE account established pursuant to 314
472	500		sections 3-39k to 3-39q, inclusive, not to exceed five thousand dollars for 315
473	501		each individual taxpayer or ten thousand dollars for taxpayers filing a 316
474	502		joint return; [and] 317
475	503		(xxxv) To the extent properly includable in gross income for federal 318
476		-	income tax purposes, the amount of any payment received pursuant to 319 Raised Bill No. 7055
477		-
478		-
479		-	LCO 5062 13 of 13
480		-
	504	+	income tax purposes, the amount of any payment received pursuant to 319
481	505		subsection (c) of section 3-122a; and 320
482	506		(xxxvi) To the extent properly includable in gross income for federal 321
483	507		income tax purposes, any qualified payment, as defined in Section 139B 322
484	508		of the Internal Revenue Code, not to exceed two thousand dollars in the 323
485	509		aggregate. 324
486	510		This act shall take effect as follows and shall amend the following
487	511		sections:
488	512
489	513		Section 1 October 1, 2025 12-81x
490	514		Sec. 2 January 1, 2026, and
491	515		applicable to taxable years
492	516		commencing on or after
493	517		January 1, 2026
494	518		12-701(a)(20)(B)
495	519
496		-	PS Joint Favorable C/R FIN
	520	+	Statement of Purpose:
	521	+	To (1) provide that a municipality may abate property taxes due with
	522	+	respect to real property owned and occupied as the principal residence
	523	+	of the surviving domestic partner of a police officer, firefighter or
	524	+	emergency medical technician who dies while in the performance of
	525	+	such officer's, firefighter's or technician's duties, and (2) allow a personal
	526	+	income tax deduction for a stipend paid by a municipality to a volunteer
	527	+	firefighter, volunteer fire police officer or volunteer ambulance member.
	528	+
	529	+	Raised Bill No. 7055
	530	+
	531	+
	532	+
	533	+	LCO No. 5062 14 of 14
	534	+
	535	+	[Proposed deletions are enclosed in brackets. Proposed additions are indicated by underline, except
	536	+	that when the entire text of a bill or resolution or a section of a bill or resolution is new, it is not
	537	+	underlined.]
497	538