Legislative Office Building, Room 5200

Hartford, CT 06106 (860) 240-0200

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LCO No.: 8919

File Copy No.: 725

House Calendar No.: 482

Senate Calendar No.: 690

OFA Fiscal Note

State Impact:

Agency Affected


FY 10 $

FY 11 $

Department of Revenue Services

GF - Revenue Loss

See Below

See Below

Department of Revenue Services

GF - Cost

50, 000


Note: GF=General Fund

Municipal Impact: None


The amendment creates a corporation business tax credit for donations from corporations to eligible scholarship programs. This will result in an annual General Fund revenue loss from the corporation business tax beginning in FY 10 to the degree corporations take part in the credit program under the $5 million annual cap.

The credit is limited to $50, 000 per year and the total amount of credits is capped annually at $5 million. To be considered an eligible scholarship program the program must 1) be administered by a tax exempt entity, 2) established for the purpose of providing funds to students to be used as tuition at a nonpublic school approved by the State Board of Education, 3) limits its scholarships to students from families that are at or below 300% of the federal poverty level, and 4) not be a related entity to the corporation making the donation.

There will be a one time cost to the Department of Revenue Services of approximately $50, 000 for form changes and for additional computer programming.

The preceding Fiscal Impact statement is prepared for the benefit of the members of the General Assembly, solely for the purposes of information, summarization and explanation and does not represent the intent of the General Assembly or either chamber thereof for any purpose. In general, fiscal impacts are based upon a variety of informational sources, including the analyst's professional knowledge. Whenever applicable, agency data is consulted as part of the analysis, however final products do not necessarily reflect an assessment from any specific department.