2025 Tax Filing: What’s New This Year in Connecticut
Published: January 6, 2026 | Reading Time: 5 minutes
Tax season has officially arrived! As we begin filing 2025 returns, Connecticut taxpayers will notice significant changes due to federal inflation adjustments and new state-level credits. At Task Income Tax, we’ve summarized everything you need to know to maximize your refund this year.
Federal Changes That Impact Your Refund
The IRS has significantly increased thresholds for the 2025 tax year to help taxpayers keep more of their income.
1. New, Higher Standard Deductions
More families will find that the standard deduction provides a better return than itemizing this year:
-
Single / Married Filing Separately: $15,750 (Up from $14,600)
-
Married Filing Jointly: $31,500 (Up from $29,200)
-
Head of Household: $23,625 (Up from $21,900)
2. Tax Brackets Adjusted for Inflation
The 12% and 22% brackets have shifted upward. For example, Married couples now stay in the 12% bracket for income up to $100,800, meaning more of your money is taxed at a lower rate compared to last year.
3. Business & Retirement Updates
-
Business Mileage: The rate for 2025 is 70 cents per mile. (Keep those logs ready!)
-
401(k) Limits: Increased to $23,500.
-
IRA Limits: Stayed at $7,000 (plus a $1,000 catch-up if you’re 50+).
Connecticut-Specific Updates
Connecticut has introduced some of the most aggressive tax relief in years for the 2025 filing season.
💰 NEW: $250 EITC Supplement
In a major win for working families, Connecticut is providing a flat $250 additional credit to any household that qualifies for the state Earned Income Tax Credit (EITC) and has at least one qualifying child. This is on top of your regular refund!
🏠 Property Tax Credit Expansion
The maximum Property Tax Credit has increased to $350 (up from $300). Eligibility has also expanded:
-
Single Filers: Full credit for income up to $70,000.
-
Joint Filers: Full credit for income up to $100,000.
💼 Pass-Through Entity Tax (PTET)
The PTET remains the best way for CT business owners (S-Corps and LLCs) to save. By electing to pay at the entity level, you can bypass the $10,000 federal SALT cap, potentially saving you thousands in federal taxes. Deadline for election: March 15, 2026.
Key 2026 Deadlines
Mark your calendars to avoid late fees:
-
January 26, 2026: IRS expected to begin processing 2025 returns.
-
January 31, 2026: Deadline for employers to send W-2s and 1099s.
-
April 15, 2026: Final deadline to file and pay Federal and CT State taxes.
-
October 15, 2026: Extension deadline (filing only).
What You Need to Bring
Gather these documents before your appointment at Task Income Tax:
-
[ ] W-2s (All employers)
-
[ ] 1099s (Interest, dividends, gig work/Uber/DoorDash)
-
[ ] 1098-T (College tuition) or 1098 (Mortgage interest)
-
[ ] Property Tax Statements (For your home and car)
-
[ ] Digital Asset Records (Any Crypto or NFT sales)
-
[ ] ID and Social Security Cards for all dependents
Why Choose Task Income Tax?
We don’t just “input numbers.” We find the money others miss.
-
Maximum Refund Guarantee: We audit every return for missed credits.
-
Bilingual Experts: Services in English, Spanish, Urdu, Hindi, Punjabi, Telugu.
-
7 Professional Locations: Serving CT, MA, RI, and NY.
🎯 Early Bird Special
File before February 15, 2026, and get cash $50 on spot. Conditions Apply.
[Schedule Your Appointment Now]
Call: 1-888-451-4127
Locations in: New Britain, East Hartford, Hartford, Berlin, and more!