Hartford Business Journal

www.HartfordBusiness.com • April 8, 2019 • Hartford Business Journal 21 BRAND BUILDING CT tourism needs some 'revolutionary' thinking By Bill Field I t's incredible to think that a need exists for a state-led business leader "Blue Ribbon Panel on Tourism" to arrive at the conclusion that Connecticut must rebrand and divert more tax revenue to help grow our floundering tourism industry. It is a blinding glimpse of the obvious and exhibits not exactly a revolutionary thought process for a state perceived as a drive-through to reach more desirable tourism destinations in New England. Tourism brand- ing and advertis- ing have for too long been treated as a stepchild in the economic spending priori- ties of the Consti- tution State. There have been campaign starts and stops with tagline promises that faded as fast as they appeared. Tourism districts that came and went, each fight- ing for relevance and budget support: The Quiet Corner, Mystic Places, The Litchfield Hills. Connecticut tourism branding has always felt like a quilt-work ar- rangement, attempting to appease everyone. Budgets came and went, riding high during times of economic prosperity and disappearing during economic downturns. Can you even recall a past tourism branding campaign or tagline? Didn't think so. The current campaign, "Still Revolutionary," is almost invisible. If you're to believe the Blue Ribbon Panel, Connecticut state tourism is worth $14.7 billion. This seems overly optimistic. Tourism supports almost 83,000 jobs and produces $1.7 billion in annual tax revenue. Being all in on tourism branding seems to make sense on many levels from a purely financial standpoint. Our neighboring state — think "I Love New York" — spends nearly twice as much on the arts as Connecti- cut does per capita. The Blue Ribbon Panel demonstrated through data analytics that an investment of $1 for tourism delivers $3 in return. We'd be hard pressed to account for any Con- necticut budget spend on which the citizens derived this amount of return. The "Still Revolutionary" campaign has been running in various iterations for the past seven years. The tagline was borne out of surveys that showed that Connecticut offers residents and visi- tors a unique experience of inspiration. "Still Revolutionary" is the brand mantra that celebrates Connecticut's spirit of independence and innovation. It's a stretch to bring the past forward to the present, even more so when jerry-rigged for economic-develop- ment efforts. Surprisingly, the work was created by a New York City firm, Chowder Inc., even though many great communications firms reside here in the state. (There was much talk that the account was wired for them to win as a political favor.) The state spent $27 million over two years in 2012 and 2013 and then scaled way back. It's this stop-and-start mentality that has laid waste to any measurable Connecticut tourism brand recognition or equity returns. The Blue Ribbon Panel recommends many initiatives starting with the tourism 101 playbook — opening and staffing all highway welcome centers around the clock. That's the ultimate no-brainer. Another is a five-year strategic plan. They also call for fund- ing five additional regional marketing organizations within the Connecticut Office of Tourism. The real issue is that tourism in Con- necticut has never had a true seat of power and, more importantly, a voice at the economic decision-making table. It's too easily cut when times are tough. At one time not long ago, the tourism spend was reduced to a mere $1 to keep the budget line item open. A true tourism leader needs to be put in place. One with actual tour- ism chops, not a political appointee. Tourism, arts and culture need to fall directly under their authority. This person needs to get everyone aligned on the importance of branding the whole state, not individual districts across Connecticut. The tried-and-true attractions that have been the tourism centerpieces need to be rethought. It requires an entirely new way of thinking and act- ing with regard to Connecticut tour- ism branding. There's nothing revolutionary about that. Bill Field is the founder of FieldActivate, a Connecticut-based marketing firm. EXPERTS CORNER As tax deadline approaches, tax filers should manage expectations, think ahead By Andrew Lattimer T he Tax Cuts and Jobs Act of 2017 (TCJA) presented the single biggest change in U.S. tax policy since the Tax Reform Act of 1986; it had literally been more than 30 years since we had seen such sweeping legislation alter the nation's tax landscape. And now that we are nearing the end of our first tax filing season under this new TCJA era, people are wondering what might be in store for them this year as they prepare to submit their tax returns to the IRS. Will the wider tax brackets and lower rates give me more of a refund? Will the loss and rollback of several previously allowed deduc- tions mean that I will owe more? Should I have changed my withhold- ings to better deal with this? All are reasonable questions, and many others exist as well. The best advice that can be given this year is that people need to manage their expectations when it comes to dealing with the affects of the TCJA. Less withholdings during the year equals less of a refund than usual for many taxpayers (or owing more). Without question there was a lot of excitement for individuals and mar- ried couples going into this year, with the notion of lower taxes and wider brackets giving way instantly to the hopes of more money in their wal- lets. Only now people are seeing that things maybe weren't exactly as they seem, as those benefits may have been offset by fewer deductions and less of an incentive to itemize. Time will tell, and without question many may be looking to make changes to their withholdings once this tax season is behind them. With that in mind, here are impor- tant considerations for people, with tax day now just a week away. To withhold or not to withhold? This is an age-old question that car- ries more weight today — Am I better off keeping my withholdings down during the year and then dealing with it at tax time, or increasing them? Did you have more money during the year that now leaves you in a bind as you pay your tax bill this April? If so, per- haps a change needs to be made. No more personal exemptions. If people didn't know this before, they will find out soon enough — the per- sonal exemption has gone away. But they might be able to get a dependent tax credit of up to $2,000 instead. Standard deduction vs. itemized deduction. This is a big one, and with the limitation placed on deducting state taxes, it comes even more front and center. Am I still able to itemize, or is the new $24,000 standard deduc- tion the route I take? This is a question every filer should be asking right now. Planning for next year. Once this fil- ing season comes to an end, it's time to revisit and possibly make adjustments for year two. We've already discussed whether withholdings should be al- tered, but there are other questions as well. Should I consider a Donor Advised Fund for my charitable contributions in order to take advantage of itemizing my deductions every other year? All are good questions, which should be addressed sooner rather than later. Andrew J. Lattimer, CPA , is a tax partner with blumshapiro, the largest regional business advisory firm based in New England. Andrew Lattimer, CPA, MST Bill Field

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