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CTNewsJunkie: Payroll Tax Commission Gets To Work

Christine Stuart, CTNewsJunkie

August 02, 2019 - less than 1 minute

The idea of implementing a payroll tax and reducing Connecticut’s personal income tax was too complicated and too new to get approved in the last few weeks of the legislative session.

However, the idea was intriguing enough for lawmakers to create a bipartisan commission that got to work on exploring the payroll tax concept this week.

The idea was first proposed by the Connecticut School Finance Project.

Essentially, the idea is to replace a portion of the Connecticut income tax with a payroll tax. The payroll tax would be paid by the employer, who could decide to reduce an employee’s wages to recoup the amount of money they would end up paying in taxes. At the same time, the employee would still realize an increase in income through a reduced income tax liability.

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