(Washington, DC) – Senator Richard Blumenthal (D-CT) today voiced his support for the payroll tax extension for middle class families that would extend the current payroll tax cut and increase it from 2% to 3.1% and highlighted an interactive map on his website that highlights the consequences for Connecticut residents.
“Failing to extend the payroll tax cut would be catastrophic to Connecticut families. Extending and increasing this tax cut – simple common sense – will put more money in the pockets of middle class families and businesses, inject money directly into our ailing economy, and will not add a cent to the deficit,” said Blumenthal. “This measure helps American families who are already struggling to make ends meet, put food on the table, and stay in their homes. The consequences are real to Connecticut in jobs and economic recovery.”
The United State Senate is likely to vote on the extension before the end of the week. This week, Michael Pond, co-head of interest-rate strategy at Barclay’s PLC, stated that the GDP growth forecast could drop from two and a half percent down to one percent and cost the economy $250 billion in losses in the next quarter if the payroll tax cut is not extended.
The tax cut would increase the take home earnings of the average Connecticut family by $1,676. If the tax cut is not passed, Connecticut families will be hit with a tax hike next year.
Click here to see an interactive map of how the payroll tax cut will affect communities across Connecticut.