An Act Establishing A Personal Income Tax Deduction For Stipends Paid To Volunteer Firefighters And Volunteer Ambulance Members.
Impact
If enacted, HB 05419 would amend section 12-701 of the general statutes to allow municipalities, volunteer fire departments, or volunteer ambulance associations to provide stipends that would be deductible from personal income taxes. This change would encourage local governments to attract and retain volunteer emergency personnel by enhancing their financial support. By making these stipends tax-deductible, volunteers may feel more appreciated and financially supported for their service, potentially leading to increased community engagement in emergency services.
Summary
House Bill 05419 aims to establish a personal income tax deduction for stipends paid to volunteer firefighters and volunteer ambulance members in Connecticut. This initiative is designed to provide financial relief to those who serve their communities in these critical emergency roles. By introducing this deduction, the bill recognizes the contributions of volunteers who often put in long hours without compensation while ensuring community safety and emergency response.
Contention
While the bill has garnered support from various stakeholders, it may face challenges regarding its fiscal implications. Some lawmakers may express concern about the potential loss of tax revenue for the state as a result of new deductions. Additionally, there could be debates over the equity of the measure, with some arguing it may disproportionately benefit volunteers from wealthier municipalities that can afford to pay stipends while leaving other communities at a disadvantage. Balancing the interests of supporting volunteer emergency personnel while maintaining a sustainable tax structure will be a point of contention during discussions.
An Act Concerning Volunteer Fire Departments And Ambulance Companies And The Definition Of Employer Under The State Occupational Safety And Health Act.