Derek Slap

SENATE GIVES FINAL APPROVAL TO BIPARTISAN BUDGET, WEST HARTFORD TO BENEFIT

HARTFORD – State Senator Derek Slap (D-West Hartford) today joined in the Senate passage of a two-year state budget that includes a historic middle-class personal income tax cut and significant increased support for West Hartford.

The biennial state budget passed the Senate today on a bipartisan vote of 35-1. The new state budget includes a total of $612 million in personal income and pension tax cuts for Connecticut taxpayers.

“The new state budget offers residents the largest tax cut in state history,” said Sen. Slap. “At the same time, we are investing in our communities, and I’m especially pleased West Hartford and its residents will benefit.”

West Hartford will receive $3.338 million in additional educational support in the next two years. The town will additionally receive about $1.4 million in state aid in those years.

New funding coming to West Hartford includes: West Hartford Pride will receive $80,000 – $40,000 in each of the 2023 and 2024 fiscal years – to improve community outreach and establish a LGBTQ+ Resource Center; The West Hartford Senior Jobs Bank will receive $10,000 in each of the 2023 and 2024 fiscal years.

“Of course, no budget is perfect, and I am disappointed the budget does not include additional funding for our non-profits, higher education and access to health care for children,” said Sen. Slap. “I will continue to advocate for these initiatives in the budget adjustments next spring.”

Details on tax cuts for residents earning up to $100,000 include:The current 3% income tax rate on the first $10,000 earned by single filers and the $20,000 earned by couples will drop to 2%; The 5% income tax rate imposed on the next $40,000 earned by singles and $80,000 earned by couples will drop to 4.5%; The income tax cuts are expected to save middle-class households $300 to $500 per year.

Further tax changes include:Expanding the income tax credit for Connecticut’s working poor from 30.5% of the federal Earned Income Tax Credit to 40%, helping approximately 200,000 Connecticut households; It further expands the income tax exemption for some pension and annuity earnings, expanding it to single filers making $75,000 – $100,000 and couples making $100,000 -$150,000; Smoothing of the so-called “tax cliff” for retirement income.