Connecticut Tax Relief

Connecticut has a history as a tax haven for those with substantial personal wealth. But oh, how the tide is turning. Connecticut’s income per capita is higher than any other state and its residents now pay extraordinarily high income taxes. With more details coming out about changes for the 2009 tax year, it looks like there is more bad news on the way.

If you struggle every year to pay your taxes in Connecticut, be aware that more stringent taxes and rules are coming down.

For example:

• Connecticut is increasing the flat income tax rate for trusts and estates from 5.0 percent to 6.5 percent
• Connecticut has delayed scheduled tax reductions for single filers for three years
• Connecticut is imposing a 10 percent corporate tax surcharge for income years beginning in 2009, 2010, and 2011

In addition, taxes are increasing for:

• Joint filers with taxable incomes over $1 million
• Heads of households with taxable incomes over $800,000
• Single filers and married individuals filing separately with taxable incomes over $500,000

Connecticut residents and business owners already facing back taxes will likely see increased challenges in achieving tax relief. The longer they wait, the more interest and penalties will accrue. If you have a debt to pay to the IRS and live in Connecticut, contact us today for a free tax debt consultation from a tax professional serving Connecticut residents and businesses. We can help you find the tax relief you need to get back into compliance and make your tax debt a survivable event.