Tax Debate Heats Up at State Capitol

Democratic lawmakers have one idea and Democratic Gov. Ned Lamont has another when it comes to cutting taxes.

It’s unclear whose tax cutting ideas will win out at the end of the day.

“This road will help a lot of poor, hardworking people. It’s a path we can get an agreement on and I do expect to get bipartisan support,” House Speaker Matt Ritter said.

Democratic lawmakers want to use $42 million to make permanent a tax cut for 198,000 households in Connecticut, but not everyone in their party agrees, including Lamont.

”I can't have more permanent tax cuts that discombobulate the budget and run counter to federal law,” Lamont said.

The governor used federal funds to increase the tax credit from 23% to 41.5%.

“A, we have a spending cap so you can only spend so much by law and B, the federal government is very strict,” Lamont said.

Instead, he wants to lower car taxes and increase the property tax.

“Admittedly, the democratic party is divided in some cases about the best way to address that, but when you can’t go down one road there’s always another road available,” Ritter said.

How will he win over Lamont?

“We’re not going to negotiate here but I'm very confident the final product will reflect 41.5%,” Ritter said.

Republicans are also not on board.

“Right now there are certainly issues with inflation and affordability for residents broadly across the spectrum and that type of increase only benefits a couple of hundred thousand people,” House Minority Leader Vincent Candelora said.

Candelora said the democratic tax proposals are too narrow.

“How we get money into everybody's pockets, not just people that happen to have children or people who happen to have a certain income threshold,” Candelora said.

Democratic lawmakers remained confident they will win the argument.

"We all need to get in the same room and get together on a tax package because that's what the taxpayers of Connecticut are asking us to do," Rep. Sean Scanlon, D-Guilford, said.