Bright Spot on Tax Relief

July 19, 2023

Connecticut recently got a national shout-out for adopting a state budget that includes a variety of tax cuts for those who need the most help such as working families and retirees.

According to an article from the Center on Budget and Policy Priorities, Connecticut is a leader on tax relief for low-and middle-income earners, providing nearly $500 million in relief for individuals and families.

Income Tax Cuts

Some of the highlights of tax relief we passed this year include:

  • Lowering the state income tax rates to save many middle-class households $300-$500 a year
  • Raising the state income tax credit from 30.5% to 40% of the federal Earned Income Tax Credit - providing $210 on average for households earning less than $60,000 per year
  • Expanding an existing exemption for pension and annuity earnings, providing additional financial security for retirees and those close to retirement

When our most vulnerable get the support they deserve, they can contribute to Connecticut's continued growth.

Read more about tax relief in our state in this article from CT Mirror.