Bill > HB05728

This bill proposes to modify section 12-701 of the general statutes to create a new personal income tax deduction specifically for tips or gratuities that a taxpayer has reported as income. The deduction would allow individuals who earn tips, such as restaurant servers, bartenders, taxi drivers, and other service industry workers, to reduce their taxable income by the total amount of tips they have declared on their tax return for a given year. By providing this tax benefit, the bill aims to provide financial relief to workers in professions where tips are a significant part of their compensation, potentially helping to offset the tax burden on these earnings. The legislation appears straightforward, focusing on creating a direct tax deduction that matches the amount of tips an individual has already reported as taxable income.

Budget and Finance

https://www.cga.ct.gov/asp/cgabillstatus/cgabillstatus.asp?selBillType=Bill&bill_num=HB05728&which_year=2025