AN ACT INCREASING THE AGRICULTURAL LABOR REMUNERATION THRESHOLD FOR IMPOSITION OF UNEMPLOYMENT TAXES.

SB 386 raises the annual threshold for agricultural employers to pay unemployment taxes from $20,000 to $30,000 per calendar quarter in wages paid to farm workers. This change directly affects agricultural employers who previously had to pay unemployment taxes once worker wages exceeded $20,000 in a quarter. The bill modifies the existing threshold under Connecticut law, meaning employers will only owe unemployment taxes if wages surpass $30,000 per quarter. This adjustment reduces the tax burden for many smaller agricultural businesses by expanding the wage amount before taxes apply.