Connecticut Legislative Update

Personal, Corporate, and Estate and Gift Tax Changes

Corey L. Rosenthal, JD, and Cynthia Galamgam, JD, LLM

CPAs need to be aware of recent legislative developments at the state level in order to properly advise taxpayers doing business in multiple jurisdictions. After a three-month political stalemate, the Connecticut General Assembly recently approved a two-year, $41.3 billion budget. Governor Malloy signed the original bill on October 31, 2017; technical corrections were made and approved by the governor on November 21, 2017. The budget raises taxes, eliminates or lowers tax credits, cuts town aid and funding for the University of Connecticut, modifies the statutory spending cap, raids the energy conservation funds, and provides aid to the City of Hartford to help stabilize its financial situation. This article will provide CPAs with a summary of Connecticut's recent changes.