Connecticut
CT child tax credit still possible as budget talks hit home stretch
State legislators are focused mainly on spending now, trimming their requests to compromise soon with Gov. Ned Lamont on a new two-year budget.
But with just over one week left in the 2025 session, one popular tax-cutting idea is still alive: a new credit for low- and middle-income households with children.
Leaders of the Senate and House Democratic majorities were cautiously optimistic about the child tax credit, though the full program likely would need to be phased in over several years.
The initial $150 per child income tax break under consideration would cost state government $83 million per year, even as looming federal Medicaid cuts could cost Connecticut hundreds of millions in annual revenue. But given the unprecedented surpluses the state has amassed since 2017 and the extremely conservative revenue growth the Lamont administration has projected during its six years, lawmakers say Connecticut can afford this relief.
“We are trying very hard to protect that tax credit the best that we can,” said House Speaker Matt Ritter, D-Hartford.
“It still is a reasonable objective,” said Senate President Pro Tem Martin M. Looney, D-New Haven, who said working families here needed more relief long before President Donald J. Trump and Congress began planning huge cutbacks in Medicaid, food stamps and other social assistance programs.
“The pressures [on working families] are going to be extreme, and we hear all the time about the potential Draconian, punitive choices” federal cutbacks will force upon them, Looney added.
Lamont’s budget spokesman, Chris Collibee, said only that tax proposals remain part of ongoing budget negotiations among the administration and legislative leaders. The governor proposed boosting a different state income tax credit, one that offsets a portion of municipal property tax bills, from $300 to $350, while also broadening eligibility.
Connecticut is the only state with a broad-based personal income tax that doesn’t account for the cost of raising children. Many Democratic lawmakers here largely have endorsed offering a $600-per-dependent credit with relief capped at $1,800 per household.
But because of the uncertainty surrounding federal funding, the General Assembly’s Finance, Revenue and Bonding Committee endorsed a less costly $150-per-child credit starting with 2025 earnings and tax returns filed in the spring of 2026, with a maximum household benefit of $450.
It would be available to single parents earning up to $100,000 per year and couples earning up to $200,000, starting with 2026 earnings.
The credit would be gradually phased out above those income levels. For every $1,000 earned above those thresholds, households would lose 10% of the credit’s value.
The credit also would be refundable. Even if a household earns so little it has no state tax liability to reduce via the credit, it still would have $150 per child added to its refund.
Nonpartisan analysts project this tax break would cost government about $83 million per year, about the same as Lamont’s plan to expand the property tax credit. It’s also roughly one-quarter of what legislators anticipate the state would lose with a full $600-per-child benefit.
And while the finance committee measure wouldn’t order increases in the credit in future years, many supporters say proposals to increase the credit would enjoy strong backing down the road.
Rep. Jillian Gilchest, D-West Hartford, co-chairwoman of the Human Services Committee and another backer of the $600-per-child benefit, predicted most Democrats won’t be satisfied for long with “an austere child tax credit” given likely federal cutbacks in health and human service programs.
“More people are going to feel the pain of these [federal] budget decisions,” she said.
Reformers have been clamoring for a child credit in recent years as public and private analyses show Connecticut’s state and municipal tax systems, combined, disproportionately burden the poor and middle class.
The Department of Revenue Services’ 2024 report found the lowest-earning 10% of households effectively spent almost 40% of their income in 2020 to cover state or municipal tax burdens, more than five times the rate faced by Connecticut’s highest earners and two-and-a-half times the statewide average.
Even one of the largest state tax cuts in 2023, which included the first income tax rate reduction since the mid-1990s, only slowed — but didn’t reverse — the ever-widening shift onto working families, according to a 2024 analysis from Connecticut Voices for Children, a progressive New Haven-based policy group.
The United Way of Connecticut, one of the progressive groups spearheading this year’s push for a child tax credit, released a report last October showing that a family of four — two parents and two children — needed to earn $113,520 in 2022 in this state to cover a basic “survival budget.”
The United Way’s methodology covers housing, food, utilities, transportation, child care and — assuming the family can’t afford a computer — at least one smart phone. By comparison, the Federal Poverty Level, a simple metric developed in the mid-1960s by U.S. Social Security Administration economists and based largely on the cost of a minimum food diet, said a family of four earning more than $27,750 in 2022 was above the poverty line.
“On a good day, 42% of Connecticut families with children struggle to make ends meet,” said Lisa Tepper Bates, president of the United Way’s Connecticut chapter. “The proposed cuts to Medicaid and SNAP will hit many Connecticut families hard. And ongoing economic upheaval and rising prices affect every family in our state. Creating a Connecticut child tax credit has never been more important.”
CT has underestimated tax revenues by wide margins
Legislators also were optimistic that Connecticut could afford to provide a child tax credit, even given the uncertainty of federal funding, given its budget caps and its track record of projecting revenues since Lamont took office in 2019.
These caps have generated surpluses averaging $1.8 billion, an amount equal to 8% of the General Fund, since they last were set in 2017. The administration is projecting a $2.4 billion surplus this year, equal to 10%. Analysts project budget caps will capture at least about $1.3 billion in each of the next two fiscal years.
Connecticut has funneled $12.5 billion in surpluses since 2017 to build reserves and scale back pension debt, a furious pace that far outstrips any similar effort in modern history.
Critics say the state has overcompensated for fiscal mistakes of prior decades and is saving excessively now at the expense of core programs and tax relief for the poor and middle class.
The state also has been extremely conservative in its revenue projections in recent years.
Legislators largely build the budget each year using an April 30 forecast prepared by their nonpartisan Office of Fiscal Analysis and by the governor’s budget staff. The basis for that forecast is income and other tax data provided by the administration, particularly the Department of Revenue Services.
Connecticut has amassed large surpluses in each of Lamont’s six years in office. Most of those surpluses turned out to be significantly larger than projected on April 30. The state’s fiscal year ends June 30, and the comptroller formally closes the books in late September.
Since Lamont has been governor, the actual surplus has topped the April 30 projection by an average of $600 million per year.
But 2020 and 2021 were outliers. The coronavirus led officials to push the 2020 income tax filing deadline back from Apil 15 to July 15. And in 2021 they moved it to May 15. In both cases, that meant analysts had limited data to build their projections.
But even if those two fiscal years are removed, the average increase in surplus after the April 30 projection has been $375 million.
“I believe it’s realistic to continue to talk about a phase-in” of a larger child tax credit, Looney said, noting that the average surplus in recent years far exceeds the cost of helping working families.
Connecticut
Lawmakers again push to restore Shore Line East service to 2019 levels
Connecticut lawmakers are again looking to restore Shore Line East rail service to its pre‑pandemic levels, a proposal that could add about 90 more trains per week.
Lawmakers are also weighing a separate cost‑saving proposal to shift the line from electric rail cars back to diesel.
The plan comes as ridership remains well below 2019 numbers, though state data shows those numbers have begun to climb.
The Department of Transportation provided the General Assembly’s transportation committee with the following data:
- 132 trains per week today versus 222 trains per week in 2019, according to the CTDOT commissioner.
- In 2019, most weekday SLE trains traveled between New Haven Union Station and Old Saybrook. This allowed SLE to operate with only five train sets in the morning and four train sets in the afternoon.
- It should be noted that 2019 SLE service levels were very different due to constrained infrastructure; 2019 service levels had a reduced number of SLE trains serving New London (13 trains per day Monday through Friday, as opposed to 20 today), while other stations had increased service (36 trains per day Monday through Friday, as opposed to 20 today).
“2019 levels beyond Old Saybrook to New London would require more crews and more train sets than were used in 2019, requiring significantly more financial resources,” the department wrote in its written testimony.
The department said the governor’s FY2027 budget does not include funding for a full restoration. In other words, even if the legislature requires additional trains, the funds are not included in the current financial plan.
Governor Lamont said on Monday to remember that the state subsidizes the line more than any other rail right now.
“There’s not as much demand as there are for some of the other rail services in other parts of the state, so that’s the balance we’re trying to get right,” Lamont said.
At a public hearing on Monday, concerns about the line’s reliability and schedule were a central focus in the testimony.
“We’re making the line less attractive, some would say. The schedules are very, very difficult to manage,” said Sen. Christine Cohen of Guilford, the co-chair of the committee.
The current schedule for eastbound morning commuters is difficult. The train either arrives in New London just after 7 a.m. or after 9 a.m.
“So obviously not really … conducive to a typical workday,” Cohen said.
Cohen, who represents communities along the line, said she continues to reintroduce the bill to expand service year after year, pushing the state to do more with the line.
She thanked the department for the work it was able to do with the recent funding to establish a through train to Stamford.
“What do we need to do, and what are the challenges that you face in terms of expansion at this time?” Cohen asked.
Commissioner Garrett Eucalitto responded that the biggest hurdle is the cost of labor and access fees to Amtrak, which owns the territory.
“The cost to provide rail service is very expensive,” Eucalitto said.
He said CTDOT knows the current schedule is “not ideal,” but the economics of a work-from-home society are difficult.
“People expect 100% of the trains that they had in 2019, but they only want to take it two days a week,” Eucalitto said.
Asked about the eastbound schedule, the commissioner explained Shore Line East still operates on a model that sends trains toward New Haven in the morning rather than toward New London.
Changing that would require more equipment, more crews, and a second morning operations base, as well as negotiations with Amtrak, which owns the tracks.
Amtrak is “protecting their slots to be able to run increased Northeast Regional service as well as increased Acela service,” Eucallito said. “They’re going to look at us and question, ‘Well, how does that impact our need for Amtrak services?’ They’ll never give you an answer upfront, it’s always: ‘show us a proposal and then they’ll respond to it.’”
Cohen, who chairs the Transportation Committee, touted how a successful Shoreline East benefits the environment, development along the line, and reduces I-95 congestion.
“We need to start talking about how much money this costs us and think about all of the ancillary benefits,” Cohen said during the hearing.
Cohen said there is multi-state support for extending the line into Rhode Island.
“We will need some federal dollars. But as you say, there are other businesses up the line in New London,” Cohen said. “We’ve got Electric Boat. We’ve got Pfizer up that way. If we can get those employees on the transit line, we’re all the better for it.”
Rider advocates said the issue is familiar.
“I’d rather see solutions, and not things that are holding it back,” said Susan Feaster, founder of the Shore Line East Riders’ Advocacy Group.
She said she worries the line is facing a transit death spiral, with reduced service leading to lower ridership and falling fare revenue.
“They have to give us the money,” Feaster said. “It shouldn’t have to be profitable.”
Like other train lines across the country, Shore Line East relies on subsidies.
“We’re not asking for everything to be done overnight, but just incrementally,” Feaster said.
The line received $5 million two years ago, which increased service levels.
The proposal comes as the state reviews whether to return to diesel rail cars that are more than 30 years old.
The state says the switch would save about $9 million, but riders have said it would worsen the passenger experience.
NBC Connecticut asked Cohen whether she’ll ask DOT to reverse that proposal.
“I really want to,” Cohen said. “I appreciate what CTDOT was trying to do in terms of not cutting service as a result of trying to find savings elsewhere. This isn’t the way to do it.”
Connecticut
Iranian Yale scholar in Connecticut celebrates fall of regime, calls for free elections
HARTFORD, Conn. (WFSB) – Thousands of Connecticut families with ties to Iran are watching and waiting as their home country undergoes a historic change.
Among them is Ramin Ahmadi, a Yale doctor, human rights activist and founder of the Iran Human Rights Documentation Center. He has spent decades advocating for freedom in Iran from his home in Connecticut.
Ahmadi moved to the United States when he was 18. On Saturday morning, he learned of military strikes in Iran and the death of the country’s supreme leader.
Ahmadi said protests for democracy and human rights in Iran intensified in December, drawing millions of participants — including his own family and friends.
“The situation in Iran was a humanitarian emergency and it needed an intervention,” Ahmadi said.
He said he celebrated when he heard the news Saturday morning.
“I was celebrating along with all other Iranians inside and outside the country,” Ahmadi said. “I do regret that we cannot bring him to a trial for crimes that he has committed against humanity.”
Ahmadi said he spoke with his sister in Iran after she celebrated in the streets. She was later told to return home for her safety.
He shared a message she relayed from those around her.
“They said do not let our death be exploited because worse than that is having to live with the criminals who have done this to us for the rest of our lives,” Ahmadi said. “We do not want to do that.”
For those questioning whether the conflict was America’s to engage in, Ahmadi offered a direct response.
“We will all be affected,” he said. “And to those that tell you that the U.S. and Israel are beating the drums of war in Iran, one has to remind them that it was not like before this Iranian people were listening to Beethoven’s Symphony No. 9 in D minor. We had a war already declared on us by this regime. We were being slaughtered on a daily basis.”
Ahmadi said he believes the path forward begins with young military officers forcing out what remains of the regime, followed by free elections.
“Everyone’s life will be safer in the future and not just Iranians,” Ahmadi said.
Connecticut lawmakers are also responding to the U.S. strikes on Iran.
Copyright 2026 WFSB. All rights reserved.
Connecticut
Two people shot in New Haven restaurant Saturday evening
New Haven police say two people were shot at a restaurant on Grand Avenue Saturday evening.
One of the victims was a 22-year-old male from East Haven who was shot in the leg and was transported to Yale New Haven Hospital for treatment.
According to police, the second victim was a 17-year-old male and arrived shortly after.
While on scene, police confirmed one of the possible shooters was still inside the restaurant.
According to police, the victims were both inside the restaurant when the teen was approached by Naguea Bratton and another suspect.
They say a fight occurred which resulted in both victims being shot.
Police detained Bratton who was charged with carrying a pistol without a permit, two counts of illegal possession of a high-capacity magazine and larceny of a motor vehicle.
Bratton is being held on a $200,000 bond.
Both victims have non-life-threatening injuries police say.
They say additional arrests are expected to be completed by warrant.
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