State’s ‘Business Entity Tax’ is a nuisance tax 

BY ART SECONDO

There continues to be a pebble in every business person’s shoe.  It is called a “Business Entity tax” and demands a $250 fee to the State’s Revenue Services Department from each and every business owner.  Campaigning politicians always profess their opposition to the tax, insisting they want it repealed.

 It’s still on the books.

Okay, you’re probably saying to yourself that $250 isn’t a big deal, about $5 a week.  Yet, it is a fact that more and more businesses, small and moderate sized, are feeling a tremendous economic pinch and this tax has no purpose other than contribute to the state’s “black hole” of spending.

This tax should be repealed when the General Assemble reconvenes.  At the very least, the new session should acknowledge the business community’s struggles and repeal a nuisance tax that basically is an insult.

Persons who have never been in business, owned or started a business, may find it hard to believe that business owners play an integral part of Connecticut’s stability.  Not only do business owners contribute to their respective local taxes, they spend thousands on employment taxes, health care and physical improvements to their property.  They own cars and trucks buy gasoline and pay utility fees and high insurance premiums.

And, it doesn’t end there.  Business owners face stiff competition from others who challenge their product, challenge their prices and often entice employees to jump ship.  Owning and operating a business, whether it is a small flower shop, ice cream shop or small manufacturing firm, is a daily uphill battle for many in today’s economic climate.

The State would be better off giving valid reason for the Business Entity Tax.   Perhaps a series of informative business planning seminars held in various sections of the state and hosted by the state’s Economic Development office.  These seminars could focus on business financing, marketing and structure.  Seminars could also include details about employment matters, health insurance and more.  These seminars could then be justified with this Business Entity Tax, noting that the pool of businesses is contributing to everyone’s benefit.

The tax is such an enigma that it is an easy target for candidates for Governor.  These folks campaign on the promise of improving the business climate.  What does that mean?  The business climate improves when towns and cities reduce or maintain their taxes which are dependent on the state appropriating more to each community.  Only then can towns like Southington do more for businesses other than cut a red ribbon.

The State of Connecticut needs an ombudsman to be on call throughout the year and be ready to fulfill an obligation that government makes to each and every citizen -- a fair taxation on services provided but with a strong emphasis on honesty and integrity that the State expects from businesses who survive on the public’s trust and obviously, their money.

We must admit that legislators are quick to ignore the fact that they enacted this tax to raise more revenue but have no idea how to replenish the money if they repeal it.  The Business Entity Tax is a bad idea but a trade-off could mean another tax somewhere.  That’s the irony of taxes.  The money has to come from somewhere.

During the current campaign for Governor and House seats, there is little conversation about toll booths.  The discussion ended before the primaries when candidates were timid about suggesting that toll booths, or one toll booth on I-95, could generate about $400 million annually.  The opposition comes from the “Gold Coast” in Fairfield, Greenwich and Stamford.  Where are the most powerful, visible candidates from?  Fairfield, Greenwich, Stamford.

In the meantime, the infamous “Business Entity Tax” should be removed as the first order of business by the next Governor.

Then we can shake our shoes and remove that annoying pebble! 

Chamber activity in full swing after summer lull

The scrolling billboard on the www.southingtoncoc.com website is a visible example of what will be a busy fall for Chamber members, Chamber directors and friends of the organization.  A political debate, Chamber Women’s lunch, comedy night, golf tournament, Advantage Nights and grand openings are exciting events that will roll us into a new year. 

Chamber member Sons of Italy celebrates 100 years

On August 29^th, the Chamber’s Chairman of the Board of Directors, Jim Garstang, presented a plaque on behalf of the organization, in front of 385 guests at the Sons of Italy’s 100^th year celebration dinner.  “The Chamber has enjoyed a close relationship with the Sons of Italy,” said Garstang, noting that the SOI has supported the Chamber’s golf and annual dinner for the past five years.

 Chamber to co-sponsor comedy night Sept. 17^th

United Way and the Chamber will sponsor a “Night of Dinner & Laughter” on Friday evening, Sept. 17 at the Aqua Turf.  Reservations are $65 PP and include a social hour of beer and wine, dinner, the show with four nationally-known comics and dancing to midnight. Admission includes a sit-down dinner, family style with beer and wine included.  The comics include Angel Rentas, Jay Sutay, Robin Fox and Jim McCue.  Dancing to the sounds of Dave Zoni will follow the show.

 Please call our office at 860-628-8036 to make seating reservations.

Expo Business Tent spaces, outside signs, available for Fest

The Chamber’s Expo Business Tents are filling up with vendors for the upcoming Apple Harvest Festival, the first two weekends in October.  The tents house 12 booths available for lease.  Any business may lease a space for one or two weekends.  The 10x10 space includes electricity.  More than 2,000 festival attendees visit the tents each year that are located adjacent to the food booths.  Please call the Chamber office for pricing.

Celebrity Golf Tournament sold out for 6^th straight year

 · Planning for the Sept. 30 Chamber annual golf tournament is on schedule with confirmations from 11 former major league baseball players.  Committee Chairman Dana Rickard reports that Luis Tiant, former Boston Red Sox and N.Y. Yankee pitching great, will return again along with Rick Miller, Bill Campbell and others including newcomer Mark Clear and Tom Burgmeister.  A host of participating Chamber-member restaurants will again be providing food on the first tee and a gala dinner and raffle will conclude the day at Hawk’s Landing.

· Major sponsors for 2010 include:

· Compu Mail, Ct. Financial, Anthem Blue Cross/Blue Shield, Network Imaging, The Hospital of Central Ct., Holiday Inn Express and ADPI Services.