Sen. Kelly: “CT Republicans have driven the discussion on tax cuts & fiscal responsibility.”

June 6, 2023
June 6, 2023

Connecticut Senate Republicans Support State Budget, Historic Working & Middle Class Tax Cuts & Investments Rooted in Republican Priorities

“Connecticut Republicans Have Driven the State Capitol Discussion
on Tax Cuts and Fiscal Responsibility.”
Connecticut Senate Republicans today voted in favor of a $51.1 billion biennial budget that provides historic tax relief, protects services for vulnerable residents, and invests in schools and healthcare while abiding by the state’s bipartisan fiscal guardrails. The State Budget provides $630 million in tax relief to the working and middle class people of Connecticut, largely driven by the hard work of the Senate Republicans.
“Connecticut Republicans have driven the State Capitol discussion on tax cuts and fiscal responsibility,” Sen. Kelly said. “Last month, Senate Republicans offered the “$1.5 Billion Back Budget,” the largest proposed tax cut in Connecticut’s history. We pushed for broad-based and impactful tax relief, some of which has been included in the state budget. While the tax cuts included in the budget are helpful to the people of Connecticut, they could have gone further. This was a missed opportunity to provide the largest tax cut in our state’s history and to provide working and middle class people with the necessary relief they deserve.”
“Connecticut Republicans pushed back on Democrat attempts to dismantle the bipartisan spending caps and budgetary guardrails that helped create our current surplus and reduce debt. Those smart fiscal guardrails led us to the first state income tax cut in three decades. Connecticut’s working and middle-class families deserve a state budget with significant tax relief, which respects the fiscal pledges we have all made as state lawmakers.”
The State Budget appropriates $25.1 billion in fiscal year 2024 and $26 billion in fiscal year 2025. This reflects a spending increase of $919 million in fiscal year 2024 (a 3.8% increase) and $885 million (a 3.5% increase) in 2025.
What does this mean in income tax cuts for the people of Connecticut?
  • A family of four making $125,000 gets $600 back
  • A single mom with two children making $80,000 gets $300 back
  • A single person earning $40,000 gets $250 back
  • A single parent with one child making $30,000 gets $220 back
The budget includes funding for education and nonprofits. It appropriates $150 million in additional education funding in FY 2025 and moves to full funding by FY 2026. Nonprofits receive an additional $103 million each year.
The budget passed the House of Representatives and the Senate and now heads to the Governor, who pledged to sign it into law.
2023 State Budget Highlights
  • Cuts the income tax
  • Eliminates the retirement income cliff (pension, annuity, and IRA)
  • Nonprofit funding increase of $103.3 million each year
  • Provides $522 million in additional funds for higher education
  • Provides $50 million in each year for childcare for low-income families
  • Includes a 3% increase to tiered PILOT for municipalities
  • Provides $8.5 million for medical debt erasure
  • Increases education funding by $150 million over the current phase-in level in FY 25. Education Cost Sharing (ECS) to be fully funded by FY 26
  • Holds overfunded towns harmless from education reductions
  • Allows returning students to be eligible for Debt-Free College Program
  • Includes $5 million for paraeducator grants
  • Increases certain Medicaid rates
  • Increases income eligibility thresholds for HUSKY C
  • Provides $32 million for federally qualified health centers
  • Provides $33 million for Victims of Crime Act (VOCA)
  • Increases adult complex care to pediatric rate
To learn more about the Connecticut Senate Republicans, please visit Connecticut Senate Republicans (