Making Sense of the Rankings: Where Connecticut Stands on Business Taxes

Back • Publication Date: February 8th, 2012

Authors: Wade Gibson, J.D.

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This review of recent national rankings of state business taxes finds that Connecticut has low business taxes, generous subsidies with few strings attached, and considerable tax avoidance by major corporations:

  • Connecticut is home to some of the country's biggest tax avoiders — General Electric and Traveler's — according to an analysis by the Institute on Taxation and Economic Policy and Citizens for Tax Justice of state and local taxes paid by Fortune 500 companies.
  • Connecticut ranks poorly — 36th in the Nation — in a study by Good Jobs First on states' accountability for creating high-quality jobs through corporate subsidies.
  • Connecticut ranks as the lowest-tax state in America for businesses, according to the Council on State Taxation (COST), a trade association of large corporations.