CT HB05062

Establishes a Young Professionals Urban Housing Incentive program allowing the Commissioner of Housing to designate urban areas and invite graduates of Connecticut public and private colleges to participate.

Eligible participants must have graduated on or after January 1, 2014, and carry at least $20,000 in student loan debt; they may deduct up to 10% of annual rental or mortgage payments from state income tax, capped at $1,200 per year.

Participants may claim benefits for the year of graduation plus nine subsequent taxable years, contingent on reapplying to the Commissioner every two years and maintaining residency in a designated urban area.

Benefits cease immediately if a participant stops paying rent or mortgage payments on their primary residence in a designated urban area.

Effective October 1, 2013; amends Connecticut income tax law to include the deduction for young professionals housing payments starting with taxable years commencing January 1, 2013.