AN ACT ESTABLISHING A REFUNDABLE CREDIT AGAINST THE PERSONAL INCOME TAX FOR THE AMOUNT OF MOTOR VEHICLE PROPERTY TAX PAID.

Plain English Breakdown

The effective date of the law is not provided in the official text or metadata.

Bill Creating a Tax Credit for Car Property Taxes

This bill creates a refundable credit against personal income taxes equal to motor vehicle property tax paid, available only to single filers earning under $100,000 and married couples filing jointly earning under $200,000.

What This Bill Does

• Establishes a new refundable credit against state personal income tax for the amount of motor vehicle property tax paid in a taxable year.
• Limits eligibility to single filers with an adjusted gross income of less than $100,000 and married individuals filing jointly with an adjusted gross income of less than $200,000.
• Changes the existing credit under section 12-704c so it only applies to property tax paid on primary residences.

Who It Names or Affects

• Single taxpayers who pay motor vehicle property tax and have an adjusted gross income of less than $100,000.
• Married couples filing jointly who pay motor vehicle property tax and have an adjusted gross income of less than $200,000.
• Taxpayers currently using the home property tax credit under section 12-704c.

Terms To Know

Refundable Credit

A reduction in taxes owed that can result in a cash payment back to the taxpayer if the credit is larger than their tax bill.

Adjusted Gross Income

The total income earned by a person or couple after specific deductions are subtracted, used here to determine eligibility for the credit.

Limits and Unknowns

• The official text does not state when this law will take effect.
• The source material does not specify if there is a maximum dollar limit on how much of the motor vehicle property tax can be claimed as a credit, only that it equals the amount paid.

Official Summary Text

To (1) establish a refundable credit against the personal income tax for the amount of motor vehicle property tax paid for a taxable year by taxpayers with adjusted gross income of less than one hundred thousand dollars for single filers and less than two hundred thousand dollars for married individuals filing jointly, and (2) limit the credit under section 12-704c of the general statutes to property tax paid on primary residences.

Current Bill Text

LCO No. 361 1 of 2

General Assembly Proposed Bill No. 99
February Session, 2026 LCO No. 361

Referred to Committee on FINANCE, REVENUE AND
BONDING

Introduced by:
SEN. HARDING, 30th Dist.
SEN. MARTIN, 31st Dist.
SEN. SAMPSON, 16th Dist.
SEN. CICARELLA, 34th Dist.
SEN. SOMERS, 18th Dist.
SEN. HWANG, 28th Dist.
SEN. BERTHEL, 32nd Dist.
SEN. FAZIO, 36th Dist.
SEN. GORDON, 35th Dist.
SEN. KISSEL, 7th Dist.
SEN. PERILLO J., 21st Dist.

AN ACT ESTABLISHING A REFUNDABLE CREDIT AGAINST THE
PERSONAL INCOME TAX FOR THE AMOUNT OF MOTOR VEHICLE
PROPERTY TAX PAID.
Be it enacted by the Senate and House of Representatives in General
Assembly convened:

That chapter 229 of the general statutes be amended to (1) establish a 1
refundable credit against the personal income tax for the amount of 2
motor vehicle property tax paid for a taxable year by taxpayers with 3
adjusted gross income of less than one hundred thousand dollars for 4
single filers and less than two hundred thousand dollars for married 5
individuals filing jointly, and (2) limit the credit under section 12 -704c 6
of the general statutes to property tax paid on primary residences. 7
Statement of Purpose:
To (1) establish a refundable credit against the personal income tax for
the amount of motor vehicle property tax paid for a taxable year by
Proposed Bill No. 99

LCO No. 361 2 of 2

taxpayers with adjusted gross income of less than one hundred
thousand dollars for single filers and less than two hundred thousand
dollars for married individuals filing jointly, and (2) limit the credit
under section 12 -704c of the general statutes to pr operty tax paid on
primary residences.