Callahan Supports Commuter Tax Credit, New Lake Regulations

Posted on February 25, 2021

Hartford – The House of Representatives met on Wednesday to act on legislation that will provide financial peace of mind to Connecticut’s commuters who travel out of state for work. State Rep. Pat Callahan (R-New Fairfield) voted for the new policy, providing commuters an income tax credit for taxes paid to the state their employer is in for the 2020 tax year. In addition, Callahan has co-sponsored legislation aimed at protecting Connecticut’s local waterways, like Candlewood Lake and Ball Pond.

Commuter Tax Credit

“Given our proximity to New York, many individuals living in the community have stopped their daily commutes across the border,” explained Rep. Callahan. “Historically, those who live in one state and work in another will pay taxes to both. However, this new provision was crafted on the principle that many have altered their work schedules – including travel – to help limit the outbreak of COVID-19.”

According to Callahan, the new law also prohibits the Dept. of Revenue Services (DRS) from considering the activities of employees who worked remotely in Connecticut due solely to COVID-19 in determining whether an employer has nexus with Connecticut for any state tax.

“The new law will not alter tax requirements after the 2020 tax year, but it certainly offers protection to many folks who would normally pay taxes to both states,” said Callahan. “The government should not be in a position to double dip given the extenuating circumstances the pandemic has placed on all of us.”

The new law will also make changes to the Payment in Lieu of Taxes (PILOT) distribution formula and limits the state’s ability to recover cash or medical assistance from liens placed on properties. The legislation was approved by a final vote tally of 125-24. It now heads to the Senate for its action.

Addressing Aquatic Invasive Species

Drawing on his previous civic service, Callahan is in the process of finding a legislative remedy that would provide state resources to help limit and eliminate aquatic invasive species, like the zebra mussel.

“Zebra mussels have been introduced to our local waters from out-of-state boaters emptying their ballast tanks, often releasing water from outside lakes into Candlewood and Ball Pond,” said Rep. Callahan. “The mussels attach to surfaces, especially around places like our docks and other entry points to the water. The mussels are boxing out the ability for other marine life to survive and thrive by eliminating crucial sources of nutrients.”

Callahan has co-sponsored proposed legislation that would establish an aquatic invasive species monitoring program at boat launches to assure clean boats are entering Connecticut’s waterways. A separate bill would provide further recommendations of how to best enforce Connecticut’s lake regulations.

For more updates on the activities of the state legislature, you can visit Rep. Callahan’s website at