At a time when corporations are seeing record profits while not paying their fair share of federal taxes, state corporate income taxes can and should play a role in raising sustainable revenue and adding progressivity to state tax codes. Right now, lawmakers in New Jersey, New York, and Connecticut have a unique opportunity to extend targeted tax changes that have raised billions of dollars from profitable corporations for meaningful public investments.
blog February 28, 2023
New Jersey, New York, and Connecticut Should Keep Corporate Taxes Strong, Extend Surcharges
ITEP Work in Action February 1, 2022
Connecticut Voices for Children: Steps to a Fairer Tax SystemAlthough Connecticut has the second highest level of per capita personal income in the US, making it exceptionally wealthy overall, many families consistently struggle because Connecticut also has the second…
media mention March 24, 2021
Connecticut Post: State Rep. Sean Scanlon (opinion): State child tax credit would ease burden on familiesThe good news for families is that President Biden’s recently passed stimulus bill features a provision long championed by my Congresswoman Rosa DeLauro that not only makes the tax credit…
ITEP Work in Action December 8, 2020
Connecticut Voices for Children: Advancing Economic Justice Through Tax ReformConnecticut Voices for Children released a new report, “Advancing Economic Justice Through Tax Reform,” which proposes a tax restructure so that the system is fair for all residents. The report provides an…
March 4, 2020
ITEP Testimony Regarding Connecticut Senate Bill 16, An Act Concerning the Adult Use of Cannabis
This testimony explains the advantages of the cannabis tax structure proposed in Connecticut’s Senate Bill 16 and offers additional background information as well as ideas for potential changes to the bill.
ITEP Work in Action January 15, 2020
Reforming Connecticut’s Tax System: A Program to Strengthen Working- and Middle-Class Families
Connecticut Voices for Children released a report that examined the state’s income and wealth inequality and the state’s regressive tax system that exacerbates these inequalities.
ITEP Work in Action May 23, 2019
Connecticut Voices for Children: Impact of the FY 2020-2021 Appropriations and Finance Committee Budget and Revenue Proposals on Children and FamiliesThe report recommends that state legislators and the Governor repeal the state’s Bond Lock, revise the volatility cap, and implement additional tax reforms that begin to correct the state’s regressive…
ITEP Work in Action May 10, 2019
Connecticut Voices for Children: Voices from the Capitol: Countdown to the End of the SessionStaff experts from our national partners – Elizabeth McNichol of the Center on Budget and Policy Priorities and Aidan Davis of the Institute on Taxation and Economic Policy – joined…
ITEP Work in Action April 26, 2019
Connecticut Voices for Children: Testimony Supporting H.B. No. 7415Smart state fiscal policies can play a critical role in building strong, equitable state economies. It is time we fix our tax laws to give working people and children a…
ITEP Work in Action April 10, 2019
Connecticut Voices for Children: Even with Modest Capital Gains Tax, Wealthiest Would Pay Average of $36,000 Less in Taxes After Trump Tax CutsConnecticut faces a $4 billion deficit over the Fiscal Years 2020-21 biennial budget. Without adequate revenues, painful budget cuts that could fall heavily on children and families are inevitable. Read…
ITEP Work in Action April 10, 2019
Connecticut Voices for Children: A Balanced Approach to Revenues: Ensuring Fairness and AdequacyAs the General Assembly develops its biennial budget facing a $4 billion deficit, Connecticut Voices for Children urges legislators and the Governor to adopt a balanced approach by adopting revenue…
ITEP Work in Action March 31, 2019
Connecticut Voices for Children: Impact of the Governor’s FY 2020-2021 Budget on Children and FamiliesConnecticut’s long-term fiscal health and economic growth depend on policies that improve equity and support our most vulnerable families and children. Governor Lamont’s proposed state budget avoids additional major cuts…
ITEP Work in Action March 31, 2019
Connecticut Voices for Children: Connecticut’s Radical New Budget Rules: Locking in Decreased Investment in our State for the Next DecadeFaced with increasingly difficult decisions in crafting the Fiscal Year (FY) 2018-19 biennial budget, the Connecticut General Assembly found itself at an impasse. In order to break the log jam,…
ITEP Work in Action October 19, 2018
Eagle Pass Business Journal: Report: Low-Income Taxpayers Pay Most in Connecticut
The report, by the Institute on Taxation and Economic Policy and Connecticut Voices for Children, found the state’s lowest-income earners pay 41 percent more of their income in taxes than wealthier residents. According to Jamie Mills, director of fiscal policy and economic inclusion at Children’s Voices of Connecticut, taken as a whole the tax system in the Nutmeg State is upside down – because, as in many other states, the tax on personal income is only part of total tax revenue.
October 17, 2018
Connecticut: Who Pays? 6th EditionCONNECTICUT Read as PDF CONNECTICUT STATE AND LOCAL TAXES Taxes as Share of Family Income Top 20% Income Group Lowest 20% Second 20% Middle 20% Fourth 20% Next 15% Next…
September 26, 2018
Tax Cuts 2.0 – ConnecticutThe $2 trillion 2017 Tax Cuts and Jobs Act (TCJA) includes several provisions set to expire at the end of 2025. Now, GOP leaders have introduced a bill informally called…
December 16, 2017
How the Final GOP-Trump Tax Bill Would Affect Connecticut Residents’ Federal TaxesThe final tax bill that Republicans in Congress are poised to approve would provide most of its benefits to high-income households and foreign investors while raising taxes on many low-…
December 6, 2017
How the House and Senate Tax Bills Would Affect Connecticut Residents’ Federal Taxes
The House passed its “Tax Cuts and Jobs Act” November 16th and the Senate passed its version December 2nd. Both bills would raise taxes on many low- and middle-income families in every state and provide the wealthiest Americans and foreign investors substantial tax cuts, while adding more than $1.4 trillion to the deficit over ten years. The graph below shows that both bills are skewed to the richest 1 percent of Connecticut residents.
November 14, 2017
How the Revised Senate Tax Bill Would Affect Connecticut Residents’ Federal Taxes
The Senate tax bill released last week would raise taxes on some families while bestowing immense benefits on wealthy Americans and foreign investors. In Connecticut, 57 percent of the federal tax cuts would go to the richest 5 percent of residents, and 22 percent of households would face a tax increase, once the bill is fully implemented.
November 6, 2017
How the House Tax Proposal Would Affect Connecticut Residents’ Federal Taxes
The Tax Cuts and Jobs Act, which was introduced on November 2 in the House of Representatives, includes some provisions that raise taxes and some that cut taxes, so the net effect for any particular family’s federal tax bill depends on their situation. Some of the provisions that benefit the middle class — like lower tax rates, an increased standard deduction, and a $300 tax credit for each adult in a household — are designed to expire or become less generous over time. Some of the provisions that benefit the wealthy, such as the reduction and eventual repeal of the estate tax, become more generous over time. The result is that by 2027, the benefits of the House bill become increasingly generous for the richest one percent compared to other income groups.
blog November 1, 2017
State Rundown 11/1: Connecticut Balances Budget, Leaves Tax Code Out of Whack
This week a “historic” but highly problematic budget agreement was finally reached in Connecticut, Michigan lawmakers banned localities from taxing any food or beverages, and Nebraska and North Dakota both got unpleasant news about future revenues. Also see our “what we’re reading” section for news on 11 states that have run up long-term fiscal deficits since 2002 and the impacts of flooding on local tax bases.
October 4, 2017
GOP-Trump Tax Framework Would Provide Richest One Percent in Connecticut with 82.6 Percent of the State’s Tax Cuts
The “tax reform framework” released by the Trump administration and congressional Republican leaders on September 27 would not benefit everyone in Connecticut equally. The richest one percent of Connecticut residents would receive 82.6 percent of the tax cuts within the state under the framework in 2018. These households are projected to have an income of at least $1,060,400 next year. The framework would provide them an average tax cut of $162,980 in 2018, which would increase their income by an average of 4.4 percent.
blog August 31, 2017
State Rundown 8/31: Modernizing Taxes is Sometimes a Sprint, Sometimes a Marathon
Tax and budget debates are progressing at different paces in different parts of the country this week. In Connecticut and Wisconsin, lawmakers hope to finally settle their budget and tax differences soon. In South Dakota, a court case that could finally enable states to enforce their sales taxes on online retailers inches slowly closer to the U.S. Supreme Court.
blog August 23, 2017
State Rundown 8/23: Few Lingering Budget Debates Cannot Linger Much Longer
This week, Oklahoma lawmakers learned they’ll need to enter a special session to balance their budget and that they’ll likely face a lawsuit over their low funding of public education. Pennsylvania’s budget stalemate is also coming to a head as the state literally runs out of funds to pay its bills. And Amazon’s tax practices are in the news again as the company has been sued in South Carolina.
August 17, 2017
In Connecticut 60.2 Percent of Trump’s Proposed Tax Cuts Go to People Making More than $1 Million
A tiny fraction of the Connecticut population (0.9 percent) earns more than $1 million annually. But this elite group would receive 60.2 percent of the tax cuts that go to Connecticut residents under the tax proposals from the Trump administration. A much larger group, 38.6 percent of the state, earns less than $45,000, but would receive just 1.9 percent of the tax cuts.