Connecticut Governor Announces Legislative Proposal That Would Benefit OZ Businesses
Connecticut Governor Ned Lamont Thursday announced a legislative proposal to create a performance-based incentive program for businesses to expand or relocate to Connecticut, with an expanded incentive for opportunity zones (OZ) businesses. The Jobs CT proposal uses an “earn-as-you-grow” approach that would offer businesses creating 25 or more full-time jobs the option to retain or rebate 25 percent of the withholding taxes from the new hires for up to seven years. Employers in a Connecticut OZ or other distressed municipality would be allowed to retain 50 percent of the withholding taxes for seven years, contingent on the jobs being in certain designated sectors and salaries at 85 percent of the municipality’s median household income. The proposal will be included in Lamont’s legislative package that he will submit to the General Assembly Feb. 5.