Bill would exempt Social Security from taxes
State Sen. Will Haskell (D-26) has co-sponsored legislation in the General Assembly that would provide relief to taxpayers and families who receive Social Security, which he believes would make Connecticut a more affordable state for retirees.
House Bill No. 5028 would eliminate limits on taxpayers’ federally adjusted gross income for Social Security benefits to be exempted from the personal income tax. Connecticut is one of 13 states that tax Social Security benefits.
As of this year, Social Security income is exempt for individual taxpayers with federal adjusted gross income of less than $75,000. For married taxpayers filing jointly, that limit stands at $100,000. Considering the rising costs of healthcare, transportation and other vital parts of modern life, this limit is still too low for hard-working families, Haskell said.
“This is a matter of fairness. Should Connecticut seniors be taxed on income that has already been taxed earlier in their careers? Social Security recipients often survive on fixed incomes and have dutifully paid into the program for years, if not decades,” Haskell said. “In many cases, it’s necessary for Social Security recipients to keep working even after they begin receiving those benefits. I’m determined to make Connecticut affordable and appealing for every generation.”