James Maroney

House Passes Tax Credit for Businesses That Pay Student Loans, Bill Now Heads to Governor for Approval

HARTFORD, CT – Today, State Senator Will Haskell (D-Westport) celebrated the House’s passing of legislation that will make Connecticut more affordable for both businesses and young people, making higher education more affordable. With the House’s approval, the legislation will soon be signed by the governor and made law.

“I am ecstatic to see so many Democrats and Republicans in the House support this crucial initiative,” said Sen. Haskell. “With the rising wave of student loan debt holding students and recent graduates back, I’m proud that we’re working across the aisle to revitalize our economy. This bill helps employers and employees alike. I’m excited to see this legislation that I helped to write reach Governor Lamont’s desk.”

Senate Bill No. 72, “An Act Establishing a Tax Credit for Employers That Make Payments on Loans Issued to Certain Employees by the Connecticut Higher Education Supplemental Loan Authority,” provides tax credits to employers who make payments on their employees’ student loans from the Connecticut Higher Education Supplemental Loan Authority. The program will assist employees working full-time in Connecticut who live and work in the state for at least five years after graduation. Starting in 2022, employers making loan payments can claim credits of half of the value of those payments for a period of up to five years.

This legislation comes as student loan debt more than doubled in Connecticut from 2008 to 2017 from $8 billion to $17 billion.

Senator Haskell co-sponsored this legislation with Senator Alex Bergstein (D-Greenwich) and Senator James Maroney (D-Milford).