CT EITC child bonus should check state EITC eligibility, not federal

[DTrim99]

Issue

The Connecticut EITC qualifying child bonus ($250) currently checks federal EITC eligibility instead of CT EITC eligibility.

Current Code

In policyengine_us/variables/gov/states/ct/tax/income/credits/eitc/ct_eitc.py:

if p.qualifying_child_bonus.in_effect:
    eitc_eligible = federal_eitc > 0  # ❌ Checks federal EITC
    has_qualifying_child = tax_unit("eitc_child_count", period) > 0
    bonus = eitc_eligible * has_qualifying_child * p.qualifying_child_bonus.amount
    return base_credit + bonus

Statutory Language (PA 24-151 / HB 5524)

Any taxpayer who is eligible for an EITC in a given taxable year and who has at least one qualifying child for federal income tax purposes in said taxable year is eligible to receive an additional two hundred fifty dollars ($250). Said amount will be in addition to the amount of the EITC the taxpayer is otherwise eligible to receive under Conn. Gen. Stat. § 12-704e in the applicable taxable year.

The bonus requires being eligible for the CT EITC under § 12-704e, not just the federal EITC.

Proposed Fix

if p.qualifying_child_bonus.in_effect:
    ct_eitc_eligible = base_credit > 0  # ✅ Check CT EITC eligibility
    has_qualifying_child = tax_unit("eitc_child_count", period) > 0
    bonus = ct_eitc_eligible * has_qualifying_child * p.qualifying_child_bonus.amount
    return base_credit + bonus

Impact

This matters for modeling scenarios where the CT EITC is eliminated (e.g., CT SB69). Under current code, the $250 bonus would incorrectly still apply to anyone with federal EITC eligibility, even if CT EITC is zeroed out.

References

• CT DRS EITC Info
• PA 24-151 (HB 5524)
• Conn. Gen. Stat. § 12-704e