AN ACT ESTABLISHING A PERSONAL INCOME TAX DEDUCTION FOR STUDENT LOAN PAYMENTS.

Plain English Breakdown

The bill has passed both chambers but is currently referred to a committee; the effective date remains unknown based on the provided source.

Student Loan Payment Tax Deduction

This bill creates a rule that lets taxpayers subtract up to $1,000 from their income if they pay student loans.

What This Bill Does

• Creates a deduction on personal income taxes for student loan payments made by the taxpayer during a taxable year.
• Limits the total amount of this deduction to one thousand dollars per year.

Who It Names or Affects

• Taxpayers who make student loan payments

Limits and Unknowns

• The official text does not specify which types of student loans qualify for the deduction.
• The effective date when this rule starts has not been set in the provided text.

Official Summary Text

To establish a personal income tax deduction of up to one thousand dollars for student loan payments made by a taxpayer for a taxable year.

Current Bill Text

LCO No. 420 1 of 1

General Assembly Proposed Bill No. 5054
February Session, 2026 LCO No. 420

Referred to Committee on FINANCE, REVENUE AND
BONDING

Introduced by:
REP. CARNEY, 23rd Dist.

AN ACT ESTABLISHING A PERSONAL INCOME TAX DEDUCTION
FOR STUDENT LOAN PAYMENTS.
Be it enacted by the Senate and House of Representatives in General
Assembly convened:

That chapter 229 of the general statutes be amended to establish a 1
personal income tax deduction of up to one thousand dollars for student 2
loan payments made by a taxpayer for a taxable year. 3
Statement of Purpose:
To establish a personal income tax deduction of up to one thousand
dollars for student loan payments made by a taxpayer for a taxable year.