AN ACT REDUCING THE SALES AND USE TAXES RATE APPLICABLE TO CERTAIN CONSTRUCTION AND BUILDING MATERIALS.

Plain English Breakdown

The official source material does not specify which construction and building materials are included, nor does it provide details about the impact on the state's budget.

Act Lowering Taxes on Building Materials

This act reduces the sales and use taxes rate to two percent for certain construction and building materials used in constructing or rehabilitating housing.

What This Bill Does

• Reduces the sales tax rate from its current level to two percent for specific construction and building materials used in constructing or rehabilitating housing.

Who It Names or Affects

• People buying construction and building materials for housing projects.
• Businesses selling these materials.

Terms To Know

Sales tax

A tax added to the price of goods or services when they are sold.

Use tax

A tax paid by a person who uses, stores, or consumes something in a state without paying sales tax on it.

Limits and Unknowns

• The bill does not specify which construction materials are included.
• It is unclear how this change will affect the state's budget.

Official Summary Text

To reduce to two per cent the sales and use taxes rate applicable to the sale of and the storage, use or other consumption in the state of construction or building materials for the construction or rehabilitation of housing.

Current Bill Text

LCO No. 488 1 of 1

General Assembly Proposed Bill No. 5063
February Session, 2026 LCO No. 488

Referred to Committee on FINANCE, REVENUE AND
BONDING

Introduced by:
REP. SCOTT, 112th Dist.

AN ACT REDUCING THE SALES AND USE TAXES RATE
APPLICABLE TO CERTAIN CONSTRUCTION AND BUILDING
MATERIALS.
Be it enacted by the Senate and House of Representatives in General
Assembly convened:

That chapter 219 of the general statutes be amended to reduce to two 1
per cent the sales and use taxes rate applicable to the sale of and the 2
storage, use or other consumption in the state of construction or 3
building materials for the construction or rehabilitation of housing. 4
Statement of Purpose:
To reduce to two per cent the sales and use taxes rate applicable to the
sale of and the storage, use or other consumption in the state of
construction or building materials for the construction or rehabilitation
of housing.