At Long Last: The Final Cost of Government Day Arrives

Saturday, September 10, 2011 8:00 AM by Jacob Feldman

Congratulations Connecticut and Happy Cost of Government Day! Connecticut “celebrates” the final Cost of Government Day, twenty-nine days after the national average of August 12. Connecticut taxpayers work longer than residents in any other state to pay off the cost of spending and regulations – 253 days out of the year.

In the last ten years, Connecticut legislators have increased taxes by $10.47 billion – an average tax increase of $2,969.90 on each man, woman, and child. Connecticut taxes have increased the 2nd most per capita since 2002. These taxes are used to increase state spending programs and do not even include how local governments also increase the tax burden.  If one examines only state and local taxes, Connect taxpayers pay 12.0 percent of all income each year in these liabilities – the third highest rate in the nation.

Unfortunately, Connecticut does not appear to be looking to relinquish their last-place standing for latest Cost of Government Day. For the FY 2012-13 biennial budget, the State of Connecticut is forecasted to increase spending by an additional $2.94 billion – an annual increase of about 4.5 percent. This increase in spending was made possible by the state’s largest tax increase in its history - $3.7 billion.

Tax increases include:

• Sales tax increase from 6 percent to 6.35 percent
• Tax on American production of yachts, jewelry, and wedding gowns
• An internet tax on online sales that will drive advertisers out of Connecticut
• Increasing the cigarette tax from $3.00 per pack to $3.40 per pack

Without serious spending reform, Connecticut’s upward trend in spending is sure to continue. Happy Cost of Government Day! Congratulations on 1st place for the 10th consecutive year.

Tags: FederalSpending CT | Comments (5)

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