The race for governor has given rise to a heated debate over taxes, with the two major party candidates offering competing plans to either eliminate the state’s personal income tax or reduce local property taxes.
Democratic businessman Ned Lamont of Greenwich on Thursday unveiled his plan that attempts to scale back the local tax that municipalities impose on vehicles and real estate. He wants to restore and expand the popular property tax credit against the personal income tax in a way that targets low- and middle-class families. The initiative would be phased in over four years, with the average beneficiary receiving a $700 tax cut by Lamont’s second two-year state budget proposal.
Lamont has been critical of a proposal from his Republican opponent, Madison businessman Bob Stefanowski, to eliminate the personal income tax over eight years. That tax generates roughly $9.7 billion annually, which covers about 50 percent of the state’s main spending account, the General Fund.
Stefanowski contends he will use his business experience to find the necessary savings in the state budget, arguing that lower taxes are needed to save Connecticut financially.
While the economic plan posted on Stefanowski’s campaign website does not mention local property taxes, it does call for eliminating the state’s gift and estate tax and for phasing out the corporate and business entity taxes
A Quinnipiac University Poll released Thursday shows a majority of voters like the idea of eliminating the income tax, but question whether it is doable. The survey showed 49 percent support ending the tax, while 35 percent oppose it. When asked if it is a realistic idea, 56 percent said no, while 35 percent said yes.
“It’s a mixed bag,” pollster Douglas Schwartz said of the issue. He noted how there is more support for Lamont’s plan to increase the state’s $10.10 an hour minimum wage to $15 an hour. Sixty-three percent of voters support the idea while 33 percent oppose it. The survey of 1,029 voters conducted by landlines and cellphones was conducted between Aug. 16 and Aug. 21 and has a sampling error of plus or minus 3.9 percentage points.
