Connecticut Gov. Dannel P. Malloy’s proposal to slash local property taxes on vehicles is getting negative reviews from local officials and Republican and Democratic lawmakers, who fear higher taxes on homeowners and businesses, The Associated Press reports.
The Legislature’s Office of Fiscal Analysis estimates the Democrat’s plan would reduce the ability of cities and towns to tax vehicles by $550 million to $600 million. Malloy wants to exempt the first $20,000 of a vehicle’s assessed value from the tax.
Officials in Weston estimate their town will lose nearly $2.4 million in car tax revenues. That would equate to a $635 increase in median tax bills for homes.
Waterbury Democratic Rep. Jeffrey Berger says a new commission created by the House Speaker will look at alternatives to the car tax, including a statewide rate.
