Real Deal: Connecticut residents see lower tax refunds this year, expert says

Connecticut residents pay just over 4% for our property tax, nearly 3% for individual income tax and about 1.5% for general sales tax.

Jay Lederman and Alexa Farrell

Mar 31, 2023, 10:39 AM

Updated 388 days ago

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After a pretty tough year due to inflation, financial experts say Connecticut taxpayers are probably going to get a lower refund than they did last year.
Caleb Silver with Investopedia says tax refunds are averaging about $2,972. He says that's an 11% drop from last year.
Connecticut residents pay just over 4% for our property tax, nearly 3% for individual income tax, and about 1.5% for general sales tax.
Silver says Connecticut is the sixth highest-taxed state in the nation.
Trisha Sauer, a financial advisor at Gateway Financial, says there are ways to get the most out of a tax return.
"The goal is to try to become debt free in any of those debts that are burdening you before you start having a family," Sauer says.  
Sauer suggests taking some money off debt balances.
"If you've got any high-interest credit card debt, I would look to definitely minimize that before going out and making any big purchases or splurging with that money," says Sauer.
Sauer says to take the highest interest rate credit card and put the majority of the money toward that balance.
If you are lucky enough to be debt-free, don't let that money burn a hole in your wallet
Sauer says if a debit is no problem, then refrain from spending your return on a family vacation or big purchase.
She says instead, consider putting inside an interest-bearing account or a CD and come up with the best way to spend that.


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