Posted on 05/01/2017 5:21:04 PM PDT by raybbr
HARTFORD >> Connecticut’s income tax collections plummeted at the end of April leaving Connecticut with a gaping $5.2 billion hole in its budget for this year and the next two fiscal years.
Revenues are down about $413 million this fiscal year, and another $597 million and $865 million in fiscal year 2018 and 2019, respectively, according to the latest estimates. That means the budget hole lawmakers and Democratic Gov. Dannel P. Malloy will have to fill after depleting the $235 million rainy day fund is about $5.2 billion.
“The precipitous drop in revenue we experienced in late April creates major challenges for the state throughout the remainder of this fiscal year and into the next biennial budget we are currently working on,” Office of Policy and Management Secretary Ben Barnes, said Monday. “We need to take immediate action to reduce spending between now and June 30 to reduce our current year deficit as much as possible to prevent the need to borrow to meet expenses.”
The revenue from Connecticut’s top 100 taxpayers was down 45 percent, according to budget analysts.
(Excerpt) Read more at nhregister.com ...
<> Do people respond to tax burdens?
Gee, that rainy day fund must have been based on some really wicked assumptions. On the other hand, the mere existence of a rainy day fund must have been comforting to the voters of that state.
bg deficits and the recession hasn’t even started yet...
Gun grabber State, how about another round of gun control to distract the folks..?
Well they could raise taxes and if that doesn’t provide enough revenue, they could raise taxes and if that .....
Maybe CT should chain the rest of the population to their homes and flog them for more revenue.
So glad I left that state.... feel bad for my relatives and decent folks trying to get by under the CT leftocrat’s boot heels.
Simple. Just increase the rate and lower the ceiling. Should bring in lots of virtual money they can spend before it arrives and evaporates.
Boy has this state gone down hill since I moved here in 1980.
So its your fault!
Note to CT state government:
Google “Laffer Curve”
then Google “GE moves to MA for lower tax rates”
Blast you Arthur Laffer!
NEWS FLASH !
Connecticut finding out that Free S*** ain't free !
If you run a state that sucks, you have to live with the results.
A business un-friendly state, and the governor doesn’t seem to care.
A few weeks ago Malloy announced that he wasn’t running for reelection. He obviously had heard the news about revenue before he told the public. Now he can sign massive tax increases and then get the hell out because everyone will hate him.
He didn’t even try to bring jobs back to CT. He’s a dem. All they can do is destroy business and suck every last dollar out of an abused public.
Hey, that's the same year I moved here from Florida... (I know - what the hell was I thinking?)
They obviously need to raise tax rates....
This must be some sort of new math:
There is a “revenue shortfall” of $1.875 billion over three years.
This shortfall is being partially offset with the $235 million “rainy day” fund.
By my math, that’s a net shortfall of $1.64 billion dollars in revenue.
Where did that extra $3.56 billion of “budget hole” come from?
Intercourse Connecticut.
And what do government trolls tell businesses facing big problems like this?
Cut your spending. Cut back on stuff bleeding you dry. Get rid of incidentals and non-essentials. Severely.
Throw that right back at the friggin, cannot ever confiscate enough from you, socialists.
Disclaimer: Opinions posted on Free Republic are those of the individual posters and do not necessarily represent the opinion of Free Republic or its management. All materials posted herein are protected by copyright law and the exemption for fair use of copyrighted works.