Connecticut Tax Guide
6.99%top marginal rate
Connecticut has one of the highest overall tax burdens in the nation. Its progressive income tax tops out at 6.99%, property taxes are among the highest in the country, and it levies both an estate tax and a gift tax.
Connecticut Tax at a Glance
Income Tax
6.99%
Top marginal rate
Sales Tax
6.35%
State-level rate
Property Tax
2.15%
95% above the national average
Estate Tax
Yes
State-level estate/inheritance tax
How Connecticut Compares to the National Average
Notable Tax Facts
- One of the highest effective property tax rates in the nation at ~2.15%
- Has both an estate tax and a gift tax
- High-income earners face a recapture provision that can effectively increase rates
- Wealthy residents have been leaving for lower-tax states like Florida
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Connecticut Tax FAQ
What is Connecticut's income tax rate?
Connecticut has a progressive income tax with rates from 3% to 6.99%. A recapture provision can effectively increase the rate for higher earners.
Does Connecticut have an estate tax?
Yes. Connecticut has an estate tax with a $13.61 million exemption (tied to federal). It is one of the few states with both an estate and gift tax.
Why are Connecticut property taxes so high?
Connecticut relies heavily on property taxes to fund local services and education, as it has no county government. Mill rates vary significantly by town.
Is Connecticut losing residents to lower-tax states?
Yes. Connecticut has experienced outmigration, particularly of high-income households, to states like Florida, which has no income tax. This has been a policy concern.
Compare With Other States
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Educational content, not tax advice. Tax rates are approximate and subject to change. Consult a qualified CPA or tax professional for advice specific to your situation. Data reflects widely-known public information as of early 2026.