Liberal Group Proposes $3 Billion in New Connecticut TaxesJanuary 17, 2017
A liberal group wants Connecticut to balance its budget with billions in new taxes; Connecticut's tax burden is already one of the highest in the nation.
This month, the liberal group Connecticut Voices for Children released a report on new tax options for the Connecticut government.
According to Connecticut Voices for Children, the state should balance its budget with new taxes. A lot of them:
In confronting budget deficits of more than $3 billion in the upcoming biennial budget, the commonsense choice for Connecticut should be a balanced approach that includes revenue, rather than a cuts-only approach that threatens an already fragile recovery.
…On the revenue side, there are opportunities to invest in Connecticut’s future by modernizing an outdated sales tax system, strengthening taxes on corporations, and reforming wealth and income taxes.
Derek Thomas of Connecticut Voices for Children goes on to propose a number of new taxes on Connecticut consumers and businesses:
- Up to $1.5 billion in new sales taxes
- $238 million in increase on personal income taxes
- An $85 million to $141 million “sweetened beverage tax”
- A $305 million tax on businesses who don’t pay workers less than $15/hour
The group fails to address the impact these taxes would have on Connecticut’s families, or its small businesses.
According to The CT Mirror, Connecticut’s chief business advocate, the Connecticut Business and Industry Association (CBIA), thinks this is “absolutely” the wrong approach:
But the head of the state’s chief business lobby, Connecticut Business and Industry Association President Joseph F. Brennan, said he fears a major tax hike would have a chilling effect on a business community already wary of adding jobs or expanding largely because of prior tax hikes.
“We just think it’s absolutely the wrong time to be raising taxes,” Brennan said. “What we keep hearing and reading is people are very concerned about the unaffordability of Connecticut.”
Connecticut has the second-highest state and local tax burden, according to the Tax Foundation. Its business tax climate ranks 44th out of 50 states.
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