House Republican Press Release

March 6, 2007

Press Office: 860-240-8700

Rep. DelGobbo: House Republican Bills Would Ease Seniors’ Tax Burden

Measures Would Phase Out Tax on Pension Benefits; Provide Property Tax Relief

Seniors struggling to cope with the high cost of living in Connecticut and tempted to move to low tax states where their money goes further would get some welcome relief if legislation proposed by the House Republican caucus becomes law this year, state Representative Kevin M. DelGobbo said today.

“Connecticut is a high tax state that and one of only four in the country that taxes pension benefits as earned income,” said Representative DelGobbo, R-Naugatuck. “Most seniors bought homes, raised families and contributed to their pension funds throughout their working lives and deserve to enjoy their retirement years without having to worry about making ends meet. When you also take into consideration property taxes that seem to go up almost every year and skyrocketing utility and gasoline costs, it’s no wonder that seniors are leaving in droves for states like Florida and Nevada where their pensions are not taxed and the cost of living is lower.”

 “Connecticut’s seniors should not have to sell their homes and leave their friends and families behind out of economic necessity,” Representative DelGobbo said. “When they do, it is not just members of their immediate families who miss them. Seniors are among the most civic minded people in their towns. They serve on local boards and commissions and do volunteer work for community organizations and their churches. Our seniors are citizens we can ill afford to lose. The measures my Republican colleagues and I are supporting become law will make Connecticut more affordable to seniors and help keep our parents and grandparents close to us.”

Our proposals include:

• House Bill 5541, which would phase out the personal income tax on pension and Social Security income for seniors aged 62 and older.
• House Bill 5542, which would expand the number of elderly people eligible for local property tax relief by lowering the current age when seniors qualify for the benefit from 70 to 65 and increasing the income eligibility levels by $10,000 for both individuals and married couples.
• House Bill 5712, which would allow seniors 65 years of age and older who do volunteer work in their communities to receive a property tax abatement of up to $750.

I also support House Bill 7131, which was introduced by the Select Committee on Aging. The measure would increase the income limits used to determine eligibility for the ConnPACE program for seniors aged 65 and older. It would raise the income threshold for unmarried seniors from $20,800 to $27,700 and for married seniors from $28,100 to $37,300.