AN ACT ESTABLISHING A RESEARCH AND DEVELOPMENT TAX CREDIT FOR PASS-THROUGH ENTITIES.

Plain English Breakdown

The source does not specify if there are limits on how much credit can be claimed.

Research Tax Credit for Pass-Through Entities

This bill creates a tax credit equal to six percent of qualifying research and development costs for certain business types.

What This Bill Does

• Establishes a new credit against personal income tax.
• Sets the credit amount at six percent of research and development expenses paid or incurred in one taxable year.

Who It Names or Affects

• Pass-through entities that pay for research work

Limits and Unknowns

• The bill does not list specific rules on which research costs qualify.
• No effective date is provided in this text.

Official Summary Text

To establish a credit against the personal income tax in the amount of six per cent of the research and development expenses paid or incurred for a taxable year by pass-through entities.

Current Bill Text

LCO No. 428 1 of 1

General Assembly Proposed Bill No. 5059
February Session, 2026 LCO No. 428

Referred to Committee on FINANCE, REVENUE AND
BONDING

Introduced by:
REP. CANINO, 65th Dist.

AN ACT ESTABLISHING A RESEARCH AND DEVELOPMENT TAX
CREDIT FOR PASS-THROUGH ENTITIES.
Be it enacted by the Senate and House of Representatives in General
Assembly convened:

That the general statutes be amended to establish a credit against the 1
personal income tax in the amount of six per cent of the research and 2
development expenses paid or incurred for a taxable year by pass -3
through entities. 4
Statement of Purpose:
To establish a credit against the personal income tax in the amount of
six per cent of the research and development expenses paid or incurred
for a taxable year by pass-through entities.