Connecticut levies taxes on tangible, non-real estate assets owned by businesses and certain individuals. This includes items like machinery, equipment, furniture, fixtures, and unregistered vehicles. For example, a construction company would pay taxes on its excavators and bulldozers, while a restaurant might pay taxes on its ovens and refrigerators. Individuals are generally assessed on items used in a business or professional practice.
This revenue stream plays a vital role in funding essential municipal services such as education, public safety, and infrastructure maintenance. Historically, such taxation has been a cornerstone of local government finance, ensuring the consistent provision of resources to communities. It contributes to the overall economic stability of municipalities by providing a predictable source of income, allowing for effective budgeting and planning.
