CT HB05134

Establishes a tax credit for employers with 50 or fewer employees in the state that provide paid family and medical leave benefits complying with federal Family and Medical Leave Act or Connecticut state law (sections 31-51kk to 31-51qq).

Credit equals 50% of gross wages or compensation paid to employees for approved leave during the income or taxable year, claimed only once per year.

Credit cannot exceed the amount of tax owed by the employer under Connecticut's corporate income tax (chapter 208) or business entity tax (chapter 229).

Annual aggregate cap of $2.5 million for all employers claiming credits, starting in fiscal year 2019 and continuing thereafter.

Employers must apply to the Commissioner of Revenue Services to reserve credits and provide documentation in the form and manner prescribed by the commissioner; effective January 1, 2019.