Posted on June 30, 2015
HARTFORD – State Representatives Rosa C. Rebimbas (R-70) and David Labriola (R-131) today decried the majority party for passing a state budget that increases taxes by $1.4 billion on the middle class and property owners, and hinders job-creating businesses despite weeks of outcry from both residents and business owners across the state.
S.B. 1502 – An Act Implementing Provisions of the State Budget for the Biennium Ending June 30, 2017 Concerning general Government, Education and health and Human Services – passed the House of Representatives by a vote of 78 to 65.
“On the heels of a $1.8 billion tax increase in 2011, the largest tax increase in state history, this budget raises taxes by another $1.4 billion on the already struggling middle class, and on job-creating businesses that are the backbone of the entire state economy,” Rep. Rebimbas said. “Instead of making the difficult choices, cutting spending and providing tax relief for families across Connecticut, the majority party once again kicked the can down the road and placed the state’s fiscal burden squarely on those who can least afford it.”
“I cannot support a budget that raises taxes and increases spending in such a reckless manner,” Rep. Labriola said. “This budget will cause irreparable damage to our state and will only inflict hardship upon our citizens and the state’s business community.”
After considerable pressure and public outcry from taxpayers and businesses around the state, the Governor and majority party made small changes to their original budget passed on June 3rd, including roll backs of only 10 percent of the original $1.8 billion in tax hikes that directly impact the middle class and businesses. The Democrats paid for much of the tax rollbacks by diverting more than $100 million in additional revenue from sales tax increases that were intended to go to towns and cities.
One of the most controversial measures is implementation of a “unitary tax” that requires corporations to pay taxes on companies they run out of state. In an effort to appease companies threatening to relocate out of state because of the increased tax burden, that unitary tax, originally set to be retroactive to last Jan. 1, has been delayed to Jan. 1, 2016, a small change that does little to address the fundamental issues or provide relief to Connecticut employers.
To read the entire bill, please go to: http://cga.ct.gov/asp/cgabillstatus/cgabillstatus.asp?selBillType=Bill&which_year=2015&bill_num=1502
The special session was required because the Democratic-led legislature left unfinished business on the table when it adjourned June 3.
Rebimbas represents the 70th district of Naugatuck.
Labriola represents the 131st district of Naugatuck, Oxford, and Southbury