There have always been high taxes in Connecticut. However, now taxpayers are leaving the state and taking their money with them.
Fleeing for more tax-friendly destinations such as Florida, Connecticut residents are letting their feet do the talking. The net loss is a staggering $2.7 billion in tax revenue. In a state with a $20 billion budget that number is significant.
The average adjusted gross income for all filers who moved out of Connecticut last year was $123,377 — the highest in the nation and far above the state’s median income. The average AGI per return for those who moved in was $92,677, or $30,699 less than those who moved out — the biggest difference in the nation. Put another way, those who moved in were not enough in number, or in income, to replace the expats.
A Tale of Taxes
Legislators may want to take note. High taxes in Connecticut are driving out residents faster than they can be replaced. If the current trend continues, Connecticut may find itself in a disastrous deceit situation.
Taxes are just one of several factors that City vs City examines. Our powerful cost of living calculator stacks your current city against another of your choosing. We look at income, expenses, savings, and of course: taxes.
When considering where to move, state and local taxes should be a significant factor. If the high taxes in Connecticut give you pause, perhaps it’s time to look elsewhere. No matter where you want to live, knowing your true cost of living is a big step towards making an informed choice on your next move.