Press Release - Rep. Doucette Tax Equity Caucus Bills

[DeLaney, Jackson]

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Wednesday, February 18, 2026                                                                           jackson...@cga.ct.gov, 860-240-8372 

 

STATE REPRESENTATIVE JASON DOUCETTE, TAX EQUITY CAUCUS RELEASE LEGISLATIVE PRIORITIES 

Bills introduce child tax credits, a capital gains surcharge, and more 

 

HARTFORD, CT - State Representative Jason Doucette (D-Manchester, Glastonbury) - House Chair of the Banking Committee - and members of the Tax Equity Caucus today released their proposals for the 2026 legislative session. 

 

The focus of the bills is to reform the regressive nature of Connecticut’s tax system that disproportionally impacts working families. According to the CT Department of Revenue Services’ most recent Tax Incidence report released in 2024, the more money you make, the less you pay as a percentage of your income. And with federal policy that will only make inequity grow between the richest Americans and the poorest, the Tax Equity Caucus emphasized the importance of taking action. 

 

“The upside down, regressive nature of our tax structure here in Connecticut disproportionately hurts working families" Rep. Doucette said.  "This is especially so right now when Connecticut families are truly struggling to make ends meet. These policies will address our unfair tax system in Connecticut and give all residents the chance to thrive, no matter their income level, while also increasing our opportunity as a state to fund vital programs that invest in our communities and our residents. We have the ability to help people – that is what government is supposed to do,”  

  

Below is a list of the Tax Equity Caucus’ priority bills this session: 

  

• HB 5133 - An Act Increasing the Highest Marginal Rate of the Personal Income Tax – This bill increases the highest marginal rate of the personal income tax from 6.99% to 7.99% 
• HB 5134 - An Act Establishing a Refundable Child Tax Credit – This bill establishes a refundable child tax credit against the personal income tax 
• HB 5139 - An Act Establishing an Estate Tax Recapture for Certain Estates and an Alternative Minimum Estate Tax – This bill establishes an estate tax recapture for certain estates and an alternative minimum estate tax to prevent the effective net tax rate from falling below two per cent 
• HB 5185 - An Act Establishing a Capital Gains and Dividends Surcharge – This bill establishes a capital gains and dividends surcharge on those subject to the highest marginal personal income tax rate. The Tax Equity Caucus is also supporting SB 104- An Act Establishing a Capital Gains Surcharge - a similar proposal that may also be heard in the Finance Revenue and Bonding Committee this session. 
• HB 5186 - 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 – This bill establishes a surcharge on certain businesses and highest-income taxpayers who claim a federal business income deduction, while reducing taxes on small businesses owned by lower- and middle-income taxpayers 
• HB 5187 - An Act Adjusting the Fiscal Guardrails – This bill adjusts the methodology used to calculate the threshold amounts for volatility funds transfers and increases the maximum capacity of the Budget Reserve Fund 

 

Fellow members of the Tax Equity Caucus said the proposed bills would support Connecticut families with the resources they need, strengthen our communities, and make the system fairer. 

 

“Our focus should be clear: we must deliver meaningful relief to families through a permanent child tax credit that directly supports working- and middle-class households struggling with the rising costs of living and the high costs of raising a child. Families across our state are facing an affordability crisis fueled by federal cuts, inflation, and economic pressures that make everyday necessities increasingly difficult to afford. By prioritizing targeted tax relief, we can help ensure that Connecticut's kids have the resources they need to thrive, put money back into local communities, and strengthen the economic foundation of our state,” said Rep. Kate Farrar (D–West Hartford/Newington). 

 

“We need a tax policy that reflects both fairness and economic reality, one that supports families struggling through an affordability crisis driven by federal cuts, tariffs, and inflation. At the same time, we should ask those at the very top, the highest-income taxpayers benefiting from federal tax windfalls, to contribute more through modest, targeted measures. And finally, we must make thoughtful adjustments to our fiscal guardrails to balance long-term stability with present-day responsibility,” said Rep. Josh Elliott (D-Hamden). 

 

“Connecticut working families are struggling with President Trump’s tariffs and inflation and they need relief. Republicans in Washington may give to the wealthy and take from the poor, but we in Connecticut can do what’s right: we can deliver a child tax credit to working families and we can pay for it by modestly increasing the taxes on the stock market gains of our wealthiest residents. We must act now to make our tax system fairer for all Connecticut residents,” Rep. Steve Winter (D-Hamden, New Haven) said. 

“Tax reform is a prerequisite for an affordable Connecticut where we fund policies that help residents get access to the healthcare, nutrition, housing and childcare that they need,” said Emily Byrne, Executive Director at Connecticut Voices for Children. “At the federal level, changes to the tax and budget system are slashing the safety net to give tax breaks to the wealthy and powerful. At the state level, the bills raised by the Tax Equity Caucus propose reasonable ways that Connecticut can respond to make the tax system work for the public good, not just the lucky and privileged few.” 

 

“Connecticut leaders have a choice to make this session – continue to cut the services we depend on to the bone, or ask the ultra-wealthy who are getting preferential federal tax cuts to pay their fair share. Everyday working people in Connecticut need to know their leaders stand with them.   Policies that ask the ultra-wealthy to pay their fair share are popular, effective, and a well overdue transition to prioritizing the working families who have built our economy over the wealthy and well-connected." Norma Martinez-HoSang, Director, Connecticut For All. 

  

State Rep. Jason Doucette represents the 13th District, which includes Manchester and Glastonbury. Rep. Doucette can be reached at jason.d...@cga.ct.gov 

  

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Jackson DeLaney (He/Him/His)

Press Aide | House Democrats

 

Work: (860) 240-8372

Cell: (203) 947-6661

 

LEGAL NOTICE: Certain communications or records received by or sent from this electronic mail account may be subject to public disclosure pursuant to the Connecticut Freedom of Information Act, Conn. Gen. Stat. §1-200 et seq.

[DeLaney, Jackson]

For IMMEDIATE Release                                                                                                               Contact: Jackson DeLaney 

Friday, February 27, 2026                                                                                 jackson...@cga.ct.gov, 860-240-8372 

 

STATE REPRESENTATIVE JASON DOUCETTE, TAX EQUITY CAUCUS HIGHLIGHT LEGISLATIVE PRIORITIES 

Bills include child tax credit, capital gains surcharge, more 

 

HARTFORD, CT - State Representative Jason Doucette (D-Manchester, Glastonbury) - House Chair of the Banking Committee - members of the Tax Equity Caucus, and advocates today joined to highlight key proposals for the 2026 legislative session. 

 

The focus of the bills is to reform the regressive nature of Connecticut’s tax system that disproportionally impacts working families. According to the CT Department of Revenue Services’ most recent Tax Incidence report released in 2024, the more money you make, the less you pay as a percentage of your income. And with federal policy that will only make inequity grow between the richest Americans and the poorest, the Tax Equity Caucus emphasized the importance of taking action. 

 

“The upside down, regressive nature of our tax structure here in Connecticut disproportionately hurts working families" Rep. Doucette said.  "This is especially so right now when Connecticut families are truly struggling to make ends meet. These policies will address our unfair tax system in Connecticut and give all residents the chance to thrive, no matter their income level, while also increasing our opportunity as a state to fund vital programs that invest in our communities and our residents. We have the ability to help people – that is what government is supposed to do.”  

  

The group covered four bills being heard today at the Finance, Revenue, and Bonding Committee’s 11am public hearing: 

  

• Proposed S.B. No. 103 - An Act Establishing a Refundable Child Tax Credit 
• Proposed S.B. No. 104 - An Act Establishing a Capital Gains Surcharge 
• Proposed H.B. No. 5133 - An Act Increasing the Highest Marginal Rate of the Personal Income Tax 
• Proposed H.B. No. 5187 - An Act Adjusting the Fiscal Guardrails 

 

Fellow members of the Tax Equity Caucus said the proposed bills would support Connecticut families with the resources they need, strengthen our communities, and make the system fairer. 

 

“Our focus should be clear: we must deliver meaningful relief to families through a permanent child tax credit that directly supports working- and middle-class households struggling with the rising costs of living and the high costs of raising a child. Families across our state are facing an affordability crisis fueled by federal cuts, inflation, and economic pressures that make everyday necessities increasingly difficult to afford. By prioritizing targeted tax relief, we can help ensure that Connecticut's kids have the resources they need to thrive, put money back into local communities, and strengthen the economic foundation of our state,” said Rep. Kate Farrar (D–West Hartford/Newington). 

 

“We need a tax policy that reflects both fairness and economic reality, one that supports families struggling through an affordability crisis driven by federal cuts, tariffs, and inflation. At the same time, we should ask those at the very top, the highest-income taxpayers benefiting from federal tax windfalls, to contribute more through modest, targeted measures. And finally, we must make thoughtful adjustments to our fiscal guardrails to balance long-term stability with present-day responsibility,” said Rep. Josh Elliott (D-Hamden). 

 

“Connecticut leaders have a choice to make this session – continue to cut the services we depend on to the bone, or ask the ultra-wealthy who are getting preferential federal tax cuts to pay their fair share. Everyday working people in Connecticut need to know their leaders stand with them.  Policies that ask the ultra-wealthy to pay their fair share are popular, effective, and a well overdue transition to prioritizing the working families who have built our economy over the wealthy and well-connected." Norma Martinez-HoSang, Director, Connecticut For All. 

  

State Rep. Jason Doucette represents the 13th District, which includes Manchester and Glastonbury. Rep. Doucette can be reached at jason.d...@cga.ct.gov 

  

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