CT HB05029

Creates a personal income tax credit for graduates of Connecticut public or independent institutions of higher education and private occupational schools who earned a bachelor's degree, associate degree, or advanced manufacturing certificate on or after January 1, 2021

Allows the credit to be claimed for two successive taxable years after graduation, limited to individuals with Connecticut adjusted gross income of $75,000 or less

Sets maximum annual credit amounts of $500 for associate degree or advanced manufacturing certificate holders, $1,000 for bachelor's degree holders, and $1,500 for bachelor's degree holders employed in high-demand or STEM-related fields as identified by the Office of Higher Education

Credits apply to qualified education loan expenses from private or governmental lenders for in-state education attendance and cannot exceed amounts already covered by other federal, state, or private education loan reimbursement programs

Effective January 1, 2021, for taxable years commencing on or after that date, and credits can only reduce tax liability to zero but not create refunds