Connecticut Tax Calculator 2025
Calculate your Connecticut state income tax with our comprehensive 2025 calculator featuring the Constitution State's progressive tax rates from 3% to 6.99%, standard deductions, and advanced tax planning tools.
Calculate Your Connecticut Tax
Enter your income information to calculate Connecticut's progressive state income tax with rates ranging from 3% to 6.99% plus applicable deductions and exemptions.
Connecticut Tax Structure 2025
Connecticut operates a progressive income tax system with rates ranging from 3% to 6.99%, making it a higher-tax state in New England. The Constitution State also imposes additional taxes on capital gains and certain high-income earners.
CT Progressive Tax Brackets (2025)
- 3% on income up to $10,000 (single)
- 5% on income $10,001 - $50,000
- 5.5% on income $50,001 - $100,000
- 6% on income $100,001 - $200,000
- 6.5% on income $200,001 - $250,000
- 6.9% on income $250,001 - $500,000
- 6.99% on income over $500,000
Standard Deductions (2025)
- Single: $24,000
- Married Filing Jointly: $48,000
- Married Filing Separately: $24,000
- Head of Household: $35,500
Connecticut Tax Benefits and Credits
Connecticut provides various tax benefits and credits, though they are more limited compared to some other states. The state focuses on supporting working families and education-related expenses.
- Personal Exemption: $15,000 per taxpayer and qualifying dependent
- Earned Income Credit: Connecticut version of federal EIC for qualifying families
- Property Tax Credit: Credit for property taxes paid on Connecticut real estate
- Connecticut HUSKY Health Credit: Credit for health insurance costs
- Social Security and Railroad Retirement: Fully exempt from Connecticut tax
- 529 Plan Deduction: Deduction for contributions to Connecticut Higher Education Trust
- Military Pay Benefits: Partial exemption for military retirement pay
Connecticut Residency and Tax Planning
Understanding Connecticut residency requirements and tax planning strategies is crucial given the state's relatively high tax rates and complex requirements for high-income earners.
Establishing CT Residency
Connecticut considers you a resident if your domicile is in Connecticut or you maintain a place of abode in Connecticut and spend more than 183 days in the state during the tax year.
Part-Year Residents
Part-year residents pay Connecticut tax only on income earned while a Connecticut resident, with specific allocation rules for business and investment income sources.
Non-Resident Taxation
Non-residents pay Connecticut tax only on income sourced to Connecticut, including wages earned in the state, Connecticut rental income, and business income from Connecticut operations.
High-Income Considerations
Connecticut's top tax rates and additional taxes on capital gains make tax planning especially important for high earners. Consider timing of income recognition and investment strategies.
Frequently Asked Questions
What are Connecticut's income tax rates for 2025?
Connecticut has progressive income tax rates ranging from 3% to 6.99% for 2025. The rates increase across seven brackets, with the top rate of 6.99% applying to income over $500,000.
Does Connecticut tax retirement income?
Connecticut partially taxes retirement income. Social Security and Railroad Retirement benefits are not taxed, but other retirement income including pensions and 401(k) distributions may be subject to Connecticut tax with limited exemptions.
How does Connecticut tax capital gains?
Connecticut taxes capital gains as ordinary income at the same progressive rates as wages. There may be additional considerations for high-income earners and specific types of capital gains.
Is Connecticut tax-friendly compared to neighboring states?
Connecticut generally has higher tax rates than many neighboring states. New Hampshire has no income tax on wages, while Massachusetts and New York have different rate structures that may be more or less favorable depending on income level.
How are remote workers taxed in Connecticut?
Connecticut residents working remotely pay Connecticut tax on all income regardless of where they work. Non-residents working remotely for Connecticut companies generally don't owe Connecticut tax unless they work physically in the state.
What deductions are available for Connecticut taxpayers?
Connecticut offers standard deductions, personal exemptions, property tax credits, and various other deductions including 529 plan contributions and certain education-related expenses.