January 14, 2013

Connecticut Voices for Children: Building a Reliable, Fair and Accountable 21st Century Revenue System

ITEP Work in Action

Connecticut’s revenue system is falling short of providing the revenues we need to maintain the public structures that keep Connecticut strong and vibrant, including our education, health, public safety, environmental protection, and transportation systems.

This candidate brief reviews problems with Connecticut’s state revenue system. In Connecticut, wealthy residents pay a smaller share of their income in state and local taxes than other residents. There is no adequate process to ensure that tax subsidies that are not effectively creating jobs are eliminated.

Connecticut’s revenue system can become more reliable, fair, and accountable through measures such as enacting a more progressive income tax, modernizing the sales tax, lowering Connecticut’s dependence on local property taxes, closing corporate tax loopholes, following through on evaluations of business tax subsidies with changes in policy, and assessing how state and local taxes affect different income groups and business types.