Bill > HB05024

This bill proposes to modify the state's personal income tax laws by creating a tax exemption specifically for overtime income. Under this proposed legislation, any additional compensation an employee receives for working hours beyond their standard work schedule would be excluded from personal income tax calculations. This means that when an employee works extra hours and receives overtime pay—typically at a rate of 1.5 times their regular hourly wage—that additional income would not be subject to state income tax. The bill aims to provide financial relief to workers who take on extra shifts or work beyond their standard hours, potentially incentivizing overtime work and offering a modest economic benefit to employees who choose to work additional time. By exempting overtime income from taxation, the bill could help workers keep more of their earned income, particularly in industries that frequently require or offer overtime opportunities.

Budget and Finance

https://www.cga.ct.gov/asp/cgabillstatus/cgabillstatus.asp?selBillType=Bill&bill_num=HB05024&which_year=2025