Tax Credits Add Up

As lawmakers here in Connecticut prepare to enter a new legislative session facing roughly $700 million in funding requests and calls for adjustments to the state’s fiscal guardrails, a report from the Office of Fiscal Analysis now shows the state foregoes a little more than $10 billion in tax revenue through tax credits and exemptions. Many of the tax credits and exemptions are quite small, but they add up. Many have no way to measure their impact or cost because there is no data and some of the more targeted credits are in place to benefit particular industries or groups.