EARNED INCOME TAX CREDIT (EITC)

Rate (Fully Refundable): 40% of the federal credit.

Eligibility Requirements: See Connecticut’s EITC information page

Latest Legislative Action: In 2023, Gov. Ned Lamont expanded the state EITC from 30.5% to 40% of the federal rate as part of the FY2024-25 biennial state budget.¹

• During the 2021 legislative session, lawmakers introduced and passed legislation to increase the value of the credit to 30%.
• Connecticut’s EITC was reduced from 30 to 23 percent of the federal credit in November 2017 as part of the state’s budget for fiscal year 2019.
• Gov. Dannel Malloy (D) announced his budget proposal for the 2017-2018 fiscal year, which included a permanent reduction in the state’s EITC from 27.5 to 25 percent of the federal credit.

• Connecticut’s state EITC was temporarily reduced from 30% to 25% of the federal EITC in 2014, then expanded to 27.5% in 2015 and back to 30% in 2016 as part of a solution to the address state’s significant budget gap.

CHILD TAX CREDIT (CTC)

*Rate (Fully Refundable): $250 per qualifying child, for up to three children.

Eligibility Requirements: See Connecticut’s Child Tax Rebate information page.

Latest Legislative Action:

In 2022, HB5506 established a one-time, refundable state Child Tax Rebate valued at $250 per child with a maximum of $750.  

• During the 2021 legislative session, SB1202 created a plan to establish a state-level CTC if changes to the federal tax credit occurred.

CHILD AND DEPENDENT CARE TAX CREDIT (CDCTC)

Connecticut does not currently offer a state-level CDCTC.