Connecticut Tax Policy & Rates 2026
Income tax, sales tax, property tax, and overall tax burden for Connecticut in 2026, with political context.
No
No Income Tax
6.99% (top)
Income Tax Rate
#2
Tax Burden Rank (1=highest)
#50
Property Tax Rank (1=highest)
Tax Policy Overview
Connecticut has the highest property tax burden in the nation and high income and sales taxes, resulting in the 2nd highest overall tax burden. The state faces challenges retaining wealthy residents and businesses. High taxes fund a large government sector and significant pension obligations.
Key Tax Rates
| Tax Type | Rate / Status |
|---|---|
| Income Tax | 6.99% (top) |
| No Income Tax | No |
| Sales Tax | 6.35% |
| No Sales Tax | No |
| Corporate Tax | 7.5% |
| Property Tax Rank | #50 nationally (1=highest) |
| Overall Tax Burden Rank | #2 nationally (1=highest) |
Political Context
Connecticut high taxes are a constant political issue. Republicans argue taxes drive the wealthy to Florida. Democrats argue cuts would devastate essential services. Property tax relief for homeowners has bipartisan support but the mechanisms are contested. The pension funding crisis constrains fiscal flexibility.