National Business Group Ranks Connecticut Business Taxes as Nation’s Lowest

Back • Publication Date: October 5th, 2011

Authors: Wade Gibson, J.D.

Downloads: Download #1 Download #2

A new report from a national business organization suggests that state's employment problems are not a result of its business taxes.

A new report from a national business organization suggests that state's employment problems are not a result of its business taxes.The report by the Council on State Taxation, a trade association of multistate corporations, ranks Connecticut's business taxes as the lowest in the nation. In fiscal year 2010, Connecticut's state and local taxes on business comprised only 3.3% of private sector economic activity (private sector gross state product or GSP), compared to the national average of 5.0%. The business group has placed Connecticut at or near the bottom of its tax rankings for the last seven years. In encouraging job creation, policymakers should turn their attention to other costs that weigh more heavily on decision making for Connecticut businesses, such as energy, health care, and transportation costs. (August 2011)