House Bill No. 7268 seeks to revamp the JobsCT tax rebate program to encourage job creation among qualified businesses in Connecticut. The bill repeals Section 32-7t of the general statutes and introduces new definitions, such as "qualified business" and "qualified FTE," which establish criteria for participation in the program. It modifies the tax rebate structure, allowing businesses to receive rebates against taxes imposed under specific chapters, contingent upon demonstrating the creation of new full-time equivalent (FTE) positions. The bill emphasizes the importance of creating jobs that exceed previous employment levels and includes provisions for the commissioner of Economic and Community Development to evaluate applications based on hiring targets and economic benefits.

Significant changes include the deletion of previous employment thresholds and the introduction of new eligibility criteria, allowing businesses with 75 or fewer employees to qualify by creating just five new FTEs. The bill also mandates that businesses consent to data access for audit purposes and imposes a cap on the total amount of rebates issued annually, set at $40 million, with $15 million specifically for new discretionary FTEs. The effective date for these changes is October 1, 2025, and the tax credit will be available starting in the second year after acceptance into the program. Overall, HB 7268 aims to make the tax rebate program more accessible to smaller businesses while promoting inclusive hiring practices.

Statutes affected:
Raised Bill: 32-7t
FIN Joint Favorable: 32-7t
File No. 891: 32-7t