A bill that would change the way Connecticut corporations are taxed is on Tuesday’s Senate calendar and could be brought up for a vote.
The mandatory unitary combined reporting bill would prevent corporations from shifting their profits to subsidiaries outside Connecticut as a business expense.
According to the Office of Fiscal Analysis the bill’s passage would add $88 million to the state’s coffers.
Business groups, led by the Connecticut Business & Industry Association, oppose the measure saying it will raise the cost of doing business in Connecticut and amount to a tax increase on Connecticut’s largest employers.
That would add to Connecticut business unfriendly reputation, opponents say.
Advocates of the bill say it will close corporate tax loopholes that diminish revenues the state needs to maintain schools, health care, public safety, transportation, and other essential services for families, communities, and businesses.
They also put Connecticut companies at a competitive disadvantage to the large companies, advocates of the bill say.
