Saturday, March 30, 2019

Where Do Connecticut Taxpayers Get Their Money From To Pay Their Taxes?

In the current harsh one party rule of the Connecticut Democrat Party that we are seeing in this current legislative session I really wonder if they know where Connecticut Taxpayers get their money from to pay their taxes?
As simplistic as this question is I think the Connecticut Democrat Party needs to understand where Connecticut Taxpayers get their money from and why it is not unlimited in nature.  Legal Connecticut Taxpayers may either own their own business and or work for a company and earn income.  This income is taxed in many ways with Federal income taxes, social security and medicare taxes automatically being taken out each pay period.  Also here in Connecticut a state income tax is levied and automatically taken out each pay period.  The state income tax has increased dramatically since its inception in 1991.  New for this session is an additional family leave tax of .05% to pay for a supposed twelve weeks of your pay to take care of a defined family member.  If you never use this leave you will not got any money back for what you payed into it nor has it been explained how this figure was developed or how it is sustainable to fund the program.
Connecticut has state taxes besides the income tax that are numerous.  We have state sales taxes, state use taxes, state excise taxes, state fees, state business taxes, state business licensing fees, state fuel taxes, state unemployment compensation taxes and other miscellaneous state taxes and fees that are assessed for far ranging areas and entities.
On a local level Connecticut has one of the highest property taxes in the country with wide ranging mill rates from town to town, city to city.  Connecticut Taxpayers must pay a local property tax on their home or condo, their vehicles, boats, trailers and campers.
If one adds up all of these taxes and you are a middle income earning couple you and your spouse will probably being paying 40% to 50% of your income for federal, state and local taxes here in Connecticut.  With all of the new taxes and tolls that are going to be passed this session this will increase our tax burden upwards to 48% to 58% of your income for federal, state and local taxes.  This means that you get to keep only 42 to 52 cents of each dollar you earn here in Connecticut.
Therefore I ask again if the Connecticut Democrat Party knows where Connecticut Taxpayers get their money from to pay their taxes?  If taxes and tolls are going to raised upwards of $2.5 billion dollars where will Connecticut Taxpayers get this additional money from?  Obviously Connecticut's economy will contract even more than has in the past as Connecticut Taxpayers reduce their consumer spending, their driving to avoid tolls, lower and or eliminate their savings and investments due to these massive tax increases.  Connecticut businesses will be eliminating jobs due to the higher minimum wage, costs of higher transportation due to tolls and higher taxes.  This should help cement Connecticut's place in the country as having the highest tax rates, the highest costs of living, the highest costs of doing business and the longest recessions of any other state.  And I can  guarantee you that Connecticut will continue to have budget deficits in the future and the roads and bridges will not be fixed or repaired either.  And nothing will be done to address Connecticut's $100 billion dollars in short and long term debt along with unfunded liabilities.
Connecticut Taxpayers have little alternative other to try to work more hours at their jobs, try to find part time jobs to earn more income to pay for all these new taxes and tolls.  Connecticut businesses have little alternative other than to eliminate jobs, reduce wages and or move to a low tax state such as Florida, South Carolina or Tennessee.  When this occurs it will create a massive ripple effect of fewer jobs and much lower tax revenues for Connecticut thereby increasing Connecticut's $100 billion dollars in short and long term debt along with unfunded liabilities.  This economic fact is lost on the economic ignorance of the Connecticut Democrat Party.
We can conclude that Connecticut Taxpayers will no longer be able to afford to pay their taxes in both the short and long run.  
We can also conclude that Connecticut businesses will no longer be able to operate and earn a profit  along with trying to pay higher taxes in both the short and long run.
We can also conclude that Connecticut's economy will be in a massive recession in both the short and long run.  
We can also conclude that Connecticut Democrat Party could care less about Connecticut.





Saturday, March 23, 2019

Connecticut's New Tax Reality-A Scene From The Future

As Connecticut leaps to a even more socialist/liberal tax and spend state with massive tolls and taxes with a rapidly rising debt load that becomes unsustainable let us look at a possible scenario in the not too distant future.
You are driving to work at your job that takes you on I-91 and I-95.  Because of your hours of employment you must drive during rush hours.  These rush hours due to the set up of the 53 tolling gallantries on all state roads encompass congestion pricing that charge commuters double the fares than off peak hours.  Your 42 mile round trip commute daily costs you an addition $40 a week to get to work due to the close proximity of the new tolls on the highway.  You have read that these tolls are going to be going up July 1 since the revenues that were expected to taken in from the tolls have fallen short of projections.  Connecticut has the highest cost per mile administrative fees in the country for road maintenance and now the highest cost per mile in toll administration in the country.
You stopped on the way home from work to pick up a few items from the grocery store.  You notice that prices have gone up in the store literally week to week.  The canned cat food that you paid 65 cents a can last week is now 72 cents a can.  The bottle of soda has gone up 15 cents for the bottle due to the new soda tax that was passed.  The store manager states to you that due to the tolls all costs of shipping goods has increased dramatically and the store has no choice but to increase their costs.  He also recommends stocking up on items since on July 1 a higher sales tax will go into effect and that will further increase costs.
When you get home that night you have received bills that shock you due to the increases in them.  Your electric bill due to the new one mill tax on each kilowatt hour you use has gone up roughly 12% since last month.  Your heating oil that was delivered yesterday cost you $28 more due to the new 14 cent per gallon heating oil tax on the 200 gallons that were delivered. The visit to vet for your cats now is being charged sales tax.
You get to work the next day after a nightmare morning commute to find out that two workers were let go due to the new $15 minimum wage bill that was passed.  The owner of your company states that he can no longer to afford to pay $600 a week plus the new .05% Family Leave tax plus all the other payroll taxes and unemployment taxes for both workers who just place items in boxes for delivery.  The costs of this new higher minimum wage have cut into the small profit margin he has thus beginning today, the owner will be forced to box the orders.  The owner says he will be looking at working 12 hours a day six days a week for himself to try to stay open and remain competitive in Connecticut.  He asks you to help with the orders if you have any free time during your work day.
A month passes and you and your wife are seeing that you will be spending $3000 more a year due to the higher taxes and tolls.  You also find out that the business you are working for is shutting down since he can no longer remain competitive due to the excessively high business and individual taxes in the state.  He thanks you for the 15 years you worked for him and can offer no severance package to you since he has run out of money due to these high taxes.
A few more months pass and you are still on unemployment compensation from the state.  Connecticut's unemployment rate has jumped dramatically in the past six months due to more businesses going bankrupt and or moving out of state.  You have sent out many resumes and applied for many minimum wage jobs just to try to get work.  You and your family have cut all expenses to the bare minimum to try to survive.   You are fast running out of money to pay the highest taxes in the country on a local and state level along with the highest costs in the country now for electricity, heating oil and food.
A state election is held in November that year and the Democrat Governor wins reelection by 3000 votes after weeks of counting and recounting the votes and the Democrats barely take the State House and Senate with a majority of only one in each case.  It is discovered in many House and Senate races that individuals were given wrong District ballots and were unable to in most cases vote for the candidate of their own choosing which was Republican.  In Bridgeport and New Haven polls remained open way past legal closing time and individuals who still were not registered to vote were allowed to vote.  Ballots in these two towns were found later discarded in dumpsters that had votes for Republican candidates.  Adding all these votes would have brought in a new fiscally conservative Republican Governor and under ticket along with majorities in both the House and Senate.  The election turns out to be a scam and your vote did not count.
When the dust settles and your unemployment has run you and your family decide to put your house up for sale.  You now take any single day employment you can find.  Your wife's employer states they will be closing at the end of the year thus you both decide to put your house up for sale and will move out of state.  You have been applying to companies in Florida, South Carolina and Tennessee and have had some promising results.  The realtor states it may take up to one year to sell your house since there are so many houses for sale.
Nine months later both you and your have accepted employment in South Carolina, your house finally sells in ten months at a price that you have lost about $15,000 on it due to property values plummeting in Connecticut along with your real estate commissions, closing costs and the new real estate sales tax that is in effect.  Your life savings is completely gone now.  You and your wife were four generations of Connecticut residents that are now finally gone and all your ties have been cut from the state.  You are starting new and will hopefully become economically prosperous in a low tax state that values legal citizens who are productive in their work and lives.
You and your family have escaped the socialist and liberal nightmare known as Connecticut. 
Connecticut's new tax reality.  This is a scene from the future.

Saturday, March 16, 2019

What Does $2.4 Billion Dollars In New and Higher Taxes Mean For Connecticut?

The new budget that Democrat Governor Ned Lamont has offered Connecticut increases and creates $2.4 billion dollars in new and higher taxes.
What does $2.4 billion dollars in new and higher taxes mean for Connecticut?
$2.4 billion dollars in new and higher taxes means all prices of goods will increase in Connecticut.
$2.4 billion dollars in new and higher taxes means the costs of all services will increase in Connecticut.
$2.4 billion dollars in new and higher taxes means the costs of transportation will increase in Connecticut.
$2.4 billion dollars in new and higher taxes means Connecticut will continue to lose economic competitiveness to other states.
$2.4 billion dollars in new and higher taxes means homes and condos will become more difficult to sell in Connecticut.
$2.4 billion dollars in new and higher taxes means more businesses will move out of Connecticut since the costs of doing business here are excessive.
$2.4 billion dollars in new and higher taxes means there will be more job losses in both the short and long run since Connecticut's minimum wage will be going up also while businesses move out.
$2.4 billion dollars in new and higher taxes means higher property taxes.
$2.4 billion dollars in new and higher taxes means there will be a massive drop in savings in Connecticut.
$2.4 billion dollars in new and higher taxes means there will be a massive drop in investment in Connecticut.
$2.4 billion dollars in new and higher taxes means there will be a massive drop in consumer spending in Connecticut.
$2.4 billion dollars in new and higher taxes means there will be a massive drop in charitable giving in Connecticut.
$2.4 billion dollars in new and higher taxes means there will be a drop off in consumer confidence in Connecticut's economy.
$2.4 billion dollars in new and higher taxes means there will be a drop off in business confidence in Connecticut's economy.
$2.4 billion dollars in new and higher taxes means there will be more legal Connecticut Taxpayers moving out of state thus increasing the tax burden for those who remain here.
$2.4 billion dollars in new and higher taxes means there will be no change in the $100 billion dollars worth of short and long term debt along with unfunded liabilities Connecticut has since none of this money is going to pay down this debt.
$2.4 billion dollars in new and higher taxes means Connecticut will remain last in all economic categories in the country.
$2.4 billion dollars in new and higher taxes means there will be even less economic freedom for Connecticut Taxpayers.
$2.4 billion dollars in new and higher taxes means there will be the continuation of the economic demise the state has had since the 1991 implementation of the state income tax.
In other words $2.4 billion dollars in new and higher taxes does not do anything at all to improve Connecticut in any way other than to continue to support the dictatorial powers of the Connecticut Democrat Party.  This is done through the further nurturing of an unsustainable level of salaries, benefits and pensions for both the management and union state workforce and excessive state spending on political do nothing programs. 
$2.4 billion dollars in new and higher taxes means once again Connecticut Taxpayers have been shut out of any say in their state government.
$2.4 billion dollars in new and higher taxes means once again Connecticut Taxpayers are indentured servants who must work harder to support to their masters in Connecticut's government.
$2.4 billion dollars in new and higher taxes is sickening isn't it?



Saturday, March 09, 2019

Connecticut's 28 Year Recession

Connecticut as we know has many negative economic issues that need to be addressed.
It has high taxes, $80 to $100 billion dollars in short and long debt along with unfunded liabilities, a lack of job creation, a poor business climate, crumbling roads and bridges, a net migration of citizens moving out of state, illegal immigrants, and an unsustainable union and management state employee workforce being paid excessive salaries, benefits and pensions.
In the current Legislative session Governor Lamont and the Connecticut Democrat Party have offered to throw more fuel in the fire by implementing the highest set of tolls in the country, tax plastic shopping bags, soda and "junk food", increasing salaries for new politically appointed State Commissioners, licenses for cats, an increase in the minimum wage to $15 a hour, a .05% payroll tax to fund a paid 12 week family and medical leave law, more benefits for illegal immigrants, a state run health care program funded by Connecticut Taxpayers, and a one mill state wide property tax.  There are even more tax and spend proposals in the works.
What the Connecticut Democrat Party has presented to Connecticut taxpayers this session is an insult to our intelligence and shows their lack of economic logic and knowledge.  How is it possible to stimulate the state economy by raising taxes and implementing tolls by over $2 billion dollars?  It does not stimulate the economy nor help get the state out its 28 year recession.
It would have been a breath of fresh air if Governor Lamont had offered a budget that cut spending across the board for all agencies, cut all newly appointed Commissioners salaries by 10%, not giving these same new Commissioners pensions, began to start to privatize the Department of Motor Vehicles, eliminate the two to three percent automatic increase in some state pensions, just to name a few ideas.  There are many more that could have been considered.
There is hope in our State Legislature in the thirteen member Connecticut General Assembly Conservative Caucus that is now questioning these ridiculous economic bills that the Democrats want to shove down the throats of the Connecticut Taxpayer.  These brave conservative legislators are offering an alternative to the stale, failed tax and spend policies of the Connecticut Democrat Party.
It will be interesting to see what happens this session in Hartford.  It will determine again how much more sacrifice that the remaining Connecticut Taxpayers who are legal citizens of the state must give to support an omnipotent one party rule and political hierarchy that is completely out of touch with the economic reality of Connecticut. 
No tolls, no new taxes, cut spending.  It is a simplistic answer that should be the solution to Connecticut's 28 year recession.
It falls on deaf ears.

Saturday, March 02, 2019

Connecticut's Created Toll Crisis

The Connecticut Democrat Party and Governor Lamont have now created a toll crisis in the state.   Governor Lamont obviously did not understand the tolls question in his campaign.  The issue of tolls has now become the tax savior to solve all of the transportation problems in the state.  Just like the state income tax was supposed to solve all of the financial problems in the state and just like all of the tax hikes during the failed Malloy Administration was supposed to solve all of the financial problems in the state.  Nothing has worked nor will tolls work.
Connecticut has a major problem in how much it spends especially in transportation.
The toll debate has been one sided with poor information being given by those in favor of tolls.  One issue that should be explained is why does Connecticut rank 44th in total disbursements per mile and 50th (last in the country) in administrative disbursements per mile (nearly $100,000 per mile) according to recent studies by the Reason Foundation-reason.org.  Why are we spending this much money on administration of our transportation systems in Connecticut?  Has there ever been an audit of this spending and agency as former Gubernatorial candidate Tim Herbst has requested? What are the actual rates that Connecticut drivers will pay in these tolls?  The numbers change constantly.  What happens if the toll revenues do not make up for the loss of over $725 million dollars that the state currently gets from the Federal Government in lieu of tolls?  Just keep raising the tolls? Has there ever been a discussion in cutting administrative costs in the Department of Transportation and putting that savings into actual maintenance and repair of our outdated road and bridge system?  I also have not read any plans as to how this toll money will be spent to repair all of the problem roads and bridges in the state or is the money just going to continue the status quo of Connecticut's rank of 44th in total disbursements per mile and 50th (last in the country) in administrative disbursements per mile (nearly $100,000 per mile)?  Where do the costs of over $300 million dollars to implement tolls along with $100 million dollars a year to run the tolls program come from and why are they so high?  What is proven economically by being the highest tolled state in the country? How does tolls help us economically by taxing us even more than what we are taxed already?
Tolls will not set us up economically for the future.  Tolls will only set us up for even more economic failures in the future.   Get ready for it.