Connecticut adds surcharge on business tax and high‑income deductions

An Act Concerning The Affected Business Entity Tax And The Credit Related Thereto And Establishing A Surcharge On The Amount Of Federal Qualified Business Income Deductions Claimed By Certain Filers.

Introduced· 2026-02-11

Who's it for

Who's it for: Businesses

What it means for you

6/10Mixed

Mixed: some good, some bad ·

Cost shift

Draft summary, still being checked against the official bill text. Read the source to confirm.

If passed, the bill would add an extra tax on certain businesses and on the deduction wealthy filers claim, making them pay more.

Our take

What we think, in plain words.

Citizens should watch because the surcharge could raise state revenue but also increase costs for local businesses and high earners, possibly leading to higher prices or reduced investment.

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The facts

What the bill actually says, no spin.

The bill proposes a surcharge on the affected business entity tax.
It also proposes a surcharge on the qualified business income deduction for filers in the highest marginal tax bracket.
The bill was introduced in the Connecticut House on Feb 11, 2026.
It is currently referred to the Joint Committee on Finance, Revenue and Bonding.