AN ACT ESTABLISHING A CREDIT AGAINST THE PERSONAL INCOME TAX FOR CERTAIN EMPLOYEES OF DEFENSE CONTRACTORS AND OF DIRECT SUPPLIERS AND SUBCONTRACTORS OF DEFENSE CONTRACTORS.

Plain English Breakdown

The official source material does not provide information on the duration of the tax credit or specify exact income thresholds, only that they exist.

Tax Credit for Defense Contractor Workers

This act creates a $500 tax credit for eligible workers at defense contractors, their suppliers, and subcontractors.

What This Bill Does

• Creates a new tax credit of $500 for certain employees.
• Applies to workers at defense contractors, direct suppliers, and subcontractors.

Who It Names or Affects

• Employees working for defense contractors
• Direct suppliers and subcontractors of defense contractors

Terms To Know

Defense contractor

A company that makes products or provides services to the military.

Subcontractor

A smaller company hired by a larger defense contractor to do part of their work.

Limits and Unknowns

• The bill does not specify how long this tax credit will last.
• It applies only to individuals with income below specific thresholds.

Official Summary Text

To establish a credit against the personal income tax of five hundred dollars for certain employees of defense contractors and of direct suppliers and subcontractors of defense contractors.

Current Bill Text

LCO No. 494 1 of 1

General Assembly Proposed Bill No. 95
February Session, 2026 LCO No. 494

Referred to Committee on FINANCE, REVENUE AND
BONDING

Introduced by:
SEN. PERILLO J., 21st Dist.

AN ACT ESTABLISHING A CREDIT AGAINST THE PERSONAL
INCOME TAX FOR CERTAIN EMPLOYEES OF DEFENSE
CONTRACTORS AND OF DIRECT SUPPLIERS AND
SUBCONTRACTORS OF DEFENSE CONTRACTORS.
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
credit against the personal income tax of five hundred dollars for 2
employees of defense contractors and of direct suppliers and 3
subcontractors of defense contractors, with adjusted gross income of 4
less than one hundred twenty-five thousand dollars for single filers and 5
less than two hundred fifty thousand dollars for married individuals 6
filing jointly. 7
Statement of Purpose:
To establish a credit against the personal income tax of five hundred
dollars for certain employees of defense contractors and of direct
suppliers and subcontractors of defense contractors.