CT HB07114

Creates a tax credit program for constructing residential dwelling units above existing retail property, with credits equal to 10% of qualified construction expenditures per additional floor, up to a maximum of three floors

Caps individual credits at $30,000 per dwelling unit for standard property owners and $50,000 per dwelling unit for nonprofit corporations

Limits total tax credits to $3 million per fiscal year, with a minimum construction expenditure threshold of $15,000 to qualify

Requires owners to submit construction plans to the Commissioner of Housing for approval before beginning work, with a 60-day review period for certification

Effective July 1, 2025, applicable to taxable years beginning January 1, 2026, with nonprofit corporations able to carry forward unused credits for up to four years