Proposed Bill No. 5186 aims to amend Title 12 of the general statutes concerning the affected business entity tax and related credits. The bill introduces a one percentage point surcharge on the tax imposed under chapter 228z and modifies the credit allowed against this tax for different income tax filers. Specifically, it reduces the credit for those subject to the highest marginal rate to 83.6% and increases the credit for filers in the three lowest marginal rates to 93.01%. Additionally, the bill establishes a 10% surcharge on the amount of federal qualified business income deductions claimed by filers at the highest marginal rate.

The purpose of this legislation is to adjust the affected business entity tax and its associated credits to create a more equitable tax structure based on income levels. By implementing these changes, the bill seeks to ensure that higher-income filers contribute a fairer share through surcharges while providing greater benefits to lower-income filers.