Goal: Make state tax policy simpler, fairer, and more strategic to help drive our economy
Consistency, clarity, and fairness in state tax policy are both achievable and critically important goals. Policymakers can unlock much-needed business investment and job growth by implementing certain reforms of the Governor’s Business Tax Policy Task Force. Doing so will help create a more predictable, fairer tax environment and a more competitive Connecticut economy.
Promote tax policy that encourages business investment, jobs, innovation, and productivity:
• Clarify the apportionment methodologies applicable to limited liability companies and partnerships to provide a level
playing field with corporations
• Clarify the manufacturing exemption for mixed-use businesses and repairs
• Phase out the corporate income tax surcharge as planned
• Eliminate the electricity generator tax as planned
• Phase out the 70% cap on corporate tax credits for R&D and fixed capital
• Phase out the minimum corporate income tax and business entity tax
• Allow all business entities to claim tax credits
• Eliminate the sales tax on business-to-business analysis, management, and consulting services
• Encourage consistency and predictability in the development and application of state tax policy and avoid retroactive changes to ensure fairness, effectiveness, and economic growth.