Here's some good news for Connecticut residents regarding the state budget:
New figures show Connecticut might erase its deficits in the current budget year, potentially generating more than $100 million in surplus money thanks to new taxes.
State officials addressing two legislative committees Tuesday said tax increases that started on July 1, along with income tax increases retroactive to Jan. 1, are helping turn the tide in the state's finances.
The Hartford Courant reports state officials warned that tax revenue can be very volatile, though.
Alan Calandro, director of the legislature's nonpartisan Office of Fiscal Analysis, says the financial picture will be clear after tax returns are filed in April.
Connecticut's income tax generates about $8.5 billion of its $20 billion annual budget, which runs through June 30, 2012. The state sales tax is projected to add $3.78 billion.Â
Source: Commercial Record