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Advocacy Updates

Key Tax Provisions Included in $55.8B Budget Package


The Connecticut legislature passed a $55.8 billion two-year budget with significant spending increases and weakened fiscal guardrails. Several tax changes and new measures were included that impact individuals, businesses, and municipalities.

 CTCPA Executive Director Bonnie Stewart has combed through the more than 600 pages of the budget bill to highlight key tax provisions by both bill section and tax type. For complete language on any of these provisions, you can refer to the noted sections of the budget bill, H.B. 7287.

View the 2025 tax provisions by type >>

View the 2025 tax provisions by budget section >>

Webinars on the One Big Beautiful Bill Act >> 

The passage of the One Big Beautiful Bill Act (OBBBA) represents the most consequential tax law since the Tax Cuts and Jobs Act (TCJA) in 2017. Our programs will distill the immense legislation into comprehensive but digestible tax updates geared toward individuals and businesses.  View available dates and times >> 

Advocacy updates

Connecticut Legislative News

Governor Lamont Announces $3 Million in Emergency Funding for Connecticut Foodshare To Address SNAP Benefits Crisis

October 28, 2025

Governor Ned Lamont today announced that his administration is providing $3 million in emergency state funding to the nonprofit organization Connecticut Foodshare to help Connecticut residents who are expected to lose access to food stamp benefits from the Supplemental Nutrition Assistance Program (SNAP) during the shutdown of the federal government.

  • advocacy - state

Connecticut Republicans: Use Unbudgeted Funds To Offset Property Tax Hikes

October 22, 2025

With property values climbing faster than paychecks, many Connecticut homeowners are facing municipal tax increases — and Republican lawmakers say the state’s record surplus should be part of the solution.

  • advocacy - state

CT 2025 municipal elections: How to vote and know who’s running

October 20, 2025

Next month, Connecticut voters will head to the polls to elect candidates for local positions in their city or town. No statewide or national elections — like those for United States Senate and House of Representatives seats or for governor of Connecticut — are held in odd-numbered years. But on Nov. 4, many communities throughout the state will still elect officeholders to positions like mayor, city councilor, alder or board of education member.

  • advocacy - state

Study: Connecticut Among Top States For Research & Development

October 14, 2025

Connecticut is among the top states in the country for research and development, according to a recent report from Smilehub.org. Smilehub is a nonprofit tech company that uses data to create ratings.

  • advocacy - state
  • federal tax

Report: CT Manufacturers Profiting, But Healthcare Costs, Tariffs Are Concerns

October 06, 2025

While 70 percent of surveyed Connecticut manufacturers were profitable in 2024, nearly all saw the cost of business go up due to a variety of factors. Nearly two in three businesses though (66%) reported that the Trump administration’s tariff policies are negatively impacting them, according to a recent report issued by the state’s largest business organization.

  • business and industry
  • advocacy - state
  • advocacy - federal

MyCTSavings Compliance to Begin in 2026

October 02, 2025

MyCTSavings is a state-sponsored retirement savings program, for employers with 5 or more full- and/or part-time employees that do not offer a retirement plan. When businesses enroll, their employees can save for retirement through payroll contributions into a Roth IRA. The program is free to businesses, and more than 50 payroll companies work with MyCTSavings to provide payroll integration with your existing payroll process.

  • business and industry
  • practice management
  • advocacy - state
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Advocacy updates

Federal Legislative News

Congress passes bill requiring IRS to clarify math error notices

October 23, 2025

The U.S. Senate on Monday passed the Internal Revenue Service Math and Taxpayer Help Act, H.R. 998, which, among other changes, requires the IRS to provide taxpayers with details on notices related to a math or clerical error.

  • advocacy - federal

IRS issues FAQs on Form 1099-K threshold under the One, Big, Beautiful Bill; dollar limit reverts to $20,000

October 23, 2025

The Internal Revenue Service today issued frequently asked questions in Fact Sheet 2025-08 PDF regarding the dollar threshold for filing Form 1099-K under the One, Big, Beautiful Bill.

  • advocacy - federal
  • federal tax

IRS issues FAQs to address Employee Retention Credits under ERC compliance provisions of the One, Big, Beautiful Bill

October 23, 2025

The Internal Revenue Service today issued frequently asked questions in Fact Sheet 2025-07 relating to the limitation on credits and refunds for Employee Retention Credits claimed for the third and fourth quarters of 2021 that were filed after Jan. 31, 2024. This limitation was enacted under the One, Big, Beautiful Bill.

  • advocacy - federal
  • federal tax

IRS limits services during shutdown

October 22, 2025

The Internal Revenue Service spelled out some of the services that will be limited or unavailable during the government shutdown that's now surpassed the three-week mark.

  • advocacy - federal
  • federal tax

AICPA Seeks Safe Harbor for 2025 Reporting Requirements of Tips and Overtime

October 21, 2025

In a letter submitted to the U.S. Department of the Treasury and the Internal Revenue Service (IRS), the American Institute of CPAs (AICPA) requested guidance related to the 2025 reporting and substantiation requirements regarding the deductions for qualified tips and qualified overtime compensation.

  • advocacy - federal
  • federal tax

What the IRS shutdown and furloughs mean for tax pros

October 21, 2025

As the federal government shutdown grinds on, most Internal Revenue Service operations are closed. With agency-wide furlough in place since Oct. 8 for everyone except already-identified excepted and exempted employees, tax professionals and taxpayers alike can expect a lot less from the agency.

  • advocacy - federal
  • federal tax
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