Malloy Proposes Eliminating Tax Credit One in Four CT Residents GetsFebruary 8, 2017
The popular property tax credit, worth $200 in 2016, will be eliminated in Gov. Malloy's (D-Conn.) budget proposal. Roughly one in four Connecticut residents earns the credit.
In his budget proposal on Wednesday, Gov. Dan Malloy (D-Conn.) is expected to eliminate a popular tax credit that around one in four Connecticut residents earns.
The property tax credit, worth $200 and eligible mostly to Connecticut residents making under $75,000 a year, will be cut as part of Malloy’s deficit reduction plan.
More from CT News Junkie:
Six years ago when Gov. Dannel P. Malloy proposed his first budget he suggested eliminating the $500 property tax credit on middle income earners, after 17 town halls he partially restored it.
This year, Malloy is looking again to middle income earners to help with the state’s budget deficit by asking them to give up their $200 property tax credit. The credit costs the state about $105 million a year and is distributed to 874,000 residents, at least 66 percent have incomes of less than $75,000 a year.
That 874,000-resident figure sounds large, but it’s made even larger when compared to Connecticut’s total population. Taking the latest Census estimate of 3.58 million people in Connecticut, that means nearly 25 percent (or one in four) Connecticut residents benefits from the credit.
Indeed, News Junkie‘s Christine Stuart noted that, to “those who receive [the property tax credit],” its elimination “could be considered a tax increase.”
Keep up with Reclaim Connecticut this week for more coverage of the budget.
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