Big dollars hang in the balance as CT finance panel rushes to finish work

The Finance, Revenue and Bonding Committee must by Thursday decide the fate of proposed tax hikes on digital media ads and health insurance carriers, along with a statewide property tax aimed at high-value homes. Lamont’s budget office warned back in February that state finances, unless adjusted, were on pace to run $2.6 billion in the red over the next two fiscal years combined, which could largely exhaust its $3 billion rainy day fund. But since then, state officials learned Connecticut is getting $2.6 billion in federal stimulus to help with the next two-year budget, and analysts project the state budget will close on June 30 with an extra $800 million left over. Fonfara introduced several proposals in one omnibus measure last week, including an income tax surcharge on the capital gains earning of Connecticut’s richest households — singles earning more than $500,000 per year and couples topping $1 million. Also still in play before the committee is a proposal from Senate President Pro Tem Martin M. Looney, D-New Haven, for a statewide tax of 1 mill aimed at homes with market values of more than $430,000.

Big dollars hang in the balance as CT finance panel rushes to finish work

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