OFFICE OF FISCAL ANALYSIS

Legislative Office Building, Room 5200

Hartford, CT 06106 (860) 240-0200

http://www.cga.ct.gov/ofa

sSB-1079

AN ACT INCREASING THE MANUFACTURING APPRENTICESHIP TAX CREDIT.

AMENDMENT

LCO No.: 8949

File Copy No.: 712

House Calendar No.: 612

Senate Calendar No.: 526


OFA Fiscal Note

State Impact:

Agency Affected

Fund-Effect

FY 14 $

FY 15 $

Department of Revenue Services

GF - Revenue Impact

See Below

See Below

Municipal Impact: None

Explanation

The amendment increases the employee-per-company cap that applies to the Manufacturing Reinvestment Account (MRA) program, reduces the initial program contribution new participants may make, and expands the tax benefit on distributions from the account to make them tax-free for new participants.

Assuming no change in program utilization, this results in a potential revenue gain of up to $375,000 annually beginning in FY 14. To the extent that the amendment results in additional participants utilizing the program, there could be an annual revenue loss of up to $371,250.

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.