OLR Bill Analysis

sHB 5160

AN ACT ESTABLISHING A MUNICIPAL OPTION TO ABATE PROPERTY TAXES FOR SMALL BUSINESSES.

SUMMARY:

This bill allows towns to abate up to 100% of property taxes due on certain small business personal property for up to three consecutive tax years. In order to offer the abatement, towns must adopt an ordinance that establishes its eligibility criteria. Towns may offer the abatement for new or newly acquired personal property owned by businesses that have 50 or fewer full-time employees as of the assessment date. Under the bill, a full-time employee is one who works at least 35 hours per week and is not a temporary or seasonal employee.

EFFECTIVE DATE: October 1, 2012, and applicable to assessment years starting on or after that date.

COMMITTEE ACTION

Planning and Development Committee

Joint Favorable Substitute

Yea

14

Nay

6

(03/02/2012)