Betts: Repeal Business Entity Tax

Connecticut House Republicans

State Rep. Whit Betts (R-Bristol) testified recently during a public hearing before the legislature’s Finance, Revenue, and Bonding Committee in support of his proposal calling for the repeal of the business entity tax. Specifically, House Bill 6372 An Act Repealing the Business Entity Tax, would repeal the current law, which requires small businesses to pay $250 bi-annually for the ability to operate.

“The legislature has a real opportunity to act in an intentional way to help owners of small businesses that have been paying this discriminatory tax for the ‘privilege’ of operating a company in this state. Small businesses are the engine of CT’s economy, yet this state continues to engage in anti-business policies that show we are closed for business.” “Repealing this very unfair tax will show small businesses – especially in Bristol and Plymouth – the importance the General Assembly attaches to the vital role they play in producing jobs and revenue in our state economy.”

Connecticut Business and Industry Association (CBIA) Counsel Louise DiCocco also presented testimony before the committee in support of this bill stating the Business Entity Tax continues to irritate Connecticut’s small businesses—on top of the many other taxes and fees they already pay in Connecticut.

“While some may suggest it is a ‘nominal’ fee, to most small business owners operating on very thin profit margins, putting the $250 back in their checkbook would be more than welcome and useful,” DiCocco said. “Beyond the cost savings, repealing the Business Entity Tax would be notable for the message that it sends to small businesses in Connecticut and outside our state as well— that Connecticut is open and welcomes small businesses.” The bill awaits further action by the Finance, Revenue and Bonding Committee.



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