Increasing The Sales Tax In Connecticut
A proposal to increase the state’s sales tax could help fill some local coffers, but some say it could end up hurting the state’s bottom line.
Gov. Dannel P. Malloy, as part of his recommended budget, has proposed a slight increase from six percent to 6.35 percent.
The state would keep .25 percent of the increase, while the remaining .10 percent of the increase would to go the towns where the sale was generated.
That could mean hundreds of thousands of dollars for local governments, especially Danbury, which has some of the highest retail sales in the state.
Greater Danbury also attracts retail customers from nearby New York state, where the sales tax is more than 2 percent higher (8.375) in Putnam County.
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