Posted on June 6, 2023
HARTFORD – The House of Representatives approved a $51 billion, two-year state budget early on Tuesday morning. State Rep. John Piscopo (R-Thomaston) voted in favor of the budget bill that delivers historic levels of tax relief and stays within the legislature’s spending guardrails.
“Back in January when we began our initial budget talks, both parties agreed to adhere to our spending and borrowing caps. I’m proud to say that this framework helped accelerate budget talks, which ended in a bipartisan agreement. I commend my colleagues on both sides of the aisle in pushing this budget forward – residents and businesses alike will benefit from many of its policies,” said Piscopo.
According to Piscopo, the most important component of the budget is significant levels of tax relief. There are several forms of tax breaks throughout the budget, but the income tax cut will benefit most Connecticut residents. It reduces the income tax from the existing 5% to 4.5%; and the existing 3% rate to 2%, with the benefit not impacting those earning $150,000 for single filers and $300,000 for joint filers.
There is also a pension and annuity fix, eliminating the tax ‘cliff’. Income tax exemptions will apply to single filers earning $75,000 and $150,000 for joint filers. The tax rate will incrementally decrease on a sliding scale for those earning above those thresholds, providing relief to many who are living on a fixed income.
“I heard from residents about the taxation policy on fixed incomes. I am glad the budget addresses these concerns, making our state a little easier to retire to. Connecticut families that have worked their entire careers in our state deserve to stay here,” said Piscopo.
Additionally, the budget:
The final vote tally was 139 to 12. The Senate has a little under 48 hours to take its action on the document for the budget to be adopted as state law.