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Some CT Dems Open to a Higher Sales Tax. Will Malloy Be?

March 31, 2017 By Staff
Some CT Dems Open to a Higher Sales Tax. Will Malloy Be?

Gov. Dan Malloy (D-Conn.) has signaled his reluctance to raise taxes, but Connecticut Democrats are raising the prospect more and more.

A new article in the Hartford Courant spells out what some Connecticut consumers and organizations have feared: tax increases are absolutely on the table. This time, it’s a possible sales tax increase.

More from Christopher Keating:

House Speaker Joe Aresimowicz of Berlin said he has studied the numbers closely in the $20 billion annual budget and won’t rule out tax increases.

“I don’t think we can go into these negotiations taking anything off the table,” he said. “I’m open to any and every idea out there. … That might be sales tax. That may be user fees.”

Aresimowicz is the same leader who, earlier this month, told Connecticut drivers that tolls are “inevitable” and that they are going to be everywhere.

Connecticut already collects more than $4 billion in sales taxes every year, taxing most goods at a rate of 6.35 percent. Aresimowicz’s comments are on top of a new report that Connecticut is seeking sales taxes for online sales as well.

A Tax Foundation study released this year found Connecticut had the 12th-highest state sales tax rate in the country. If Connecticut raises the rate one percent, to 7.35 percent, it will have the highest state sales tax rate in the nation.

While Gov. Dan Malloy (D-Conn.) has often suggested he’s reluctant to raise taxes in 2017, he has never ruled it out. In a January interview, he just stated that tax increases are not “what I’m leading with.”