E&F and PET Tax Revenue Decline — March 23, 2023

Written By Yaroslav Farifonov

Connecticut Tax Receipts from Estimates & Finals and Pass Through Entity Tax Likely to Decline $2.1 Billion in Fiscal Year 2023

The Projected 32% Decline is Double The Official Projection of a 16% Decline.

This paper assesses the outlook for Connecticut tax receipts in fiscal 2023 (July 2022 to June 2023) from Individual Income Taxes paid via Estimates & Finals (E&F) and the Pass Through Entity tax (PET), which depend heavily upon stock market income.

Conclusion: Tax receipts will fall significantly in fiscal year 2023 ending June 30, 2023.

  • Tax receipts will fall $2.1 billion, or 32% from fiscal 2022 ended June 30, 2022.

  • Decline will far surpass the official estimate of a $1.0 billion, or 16%, decline.

Yaroslav Farifonov https://shozany.com
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