Hartford Business Journal

HARTFORDBUSINESS.COM | AUGUST 10, 2026 9 POLITICS & POLICY Glastonbur y - Stamford New Haven - Avon - Enfield 300 Winding Brook Drive Glastonbury, CT 06033 fmlcpas.com | 860-657-3651 From entity selection to tax structure and beyond, FML has been a guiding light for privately-held companies of all sizes and across all industries since 2002. Designed from the ground up as an independent, entrepreneurial firm, FML is the tax, assurance, and advisory partner your business can rely on, whatever the future holds. Managing your company's finances takes the right tools and the right support. Westfield Bank's Business Deposit Services team can help you streamline your banking, optimize cash flow, and safeguard what matters. Specialized services include: ACH and wire solutions Remote Deposit Capture Positive Pay fraud protection Online Banking with customized controls Your local team. Your trusted partner. And a smooth transition for your business, firm or nonprofit of any size, every step of the way. That's what better banking's all about. Call us today or visit westfieldbank.com/business/industries 413.568.1911 | 860.838.3766 | 800.995.5734 | westfieldbank.com Better control. Better cash flow. Better banking. Back Square, said the expanded threshold should particularly benefit retailers that sell higher-priced apparel and footwear. He expects stores such as Lulu- lemon, L.L.Bean, J.Crew Factory and Gap Factory to benefit because more of their merchandise now qualifies for the exemption. "We actually see a pretty mean- ingful foot traffic increase every year that this comes about," Nolan said. "I think this year might be more than others because of the increase in incentive." Connecticut Post Mall, Trumbull Mall and The SoNo Collection in Norwalk also plan promotions and family events during tax-free week to capitalize on the increased interest. Kelly Hapken, regional marketing director for Centennial Real Estate, which owns those three retail centers, said the higher threshold allows shoppers to purchase higher-quality and name-brand merchandise while stretching family budgets further. "It makes it easier for families with multiple children to consolidate their shopping into fewer trips," she said. Hapken also expects shop- pers without school-age children to participate. "We do see a nice uptick in traffic from all demographics during that week," she said. More competitive The retail industry hopes the changes will also help independent businesses compete with online retailers and neighboring states. Andrew Markowski, Connecticut state director for the National Federation of Independent Business, said his organization supported expanding the tax holiday because inflation rendered the $100 limit outdated. He said the changes also make Connecticut more competitive with neighboring states. Massachu- setts, for example, holds its sales tax holiday over one weekend but permanently exempts some clothing purchases under $175 from the sales tax. "NFIB would love to see some permanent exemptions," he said. "Consumers are very price sensitive right now. So this kind of economic stimulation and attention is positive." However, not everyone agrees that sales tax holidays provide a mean- ingful economic benefit. The Tax Foundation, a Washington, D.C.-based tax policy research orga- nization, argues that such programs largely shift purchases consumers would have made anyway rather than generating significant new economic activity. The group says the holidays, now offered in 20 states, reduce state tax collections while providing little long-term economic benefit. Supporters counter that concen- trating shopping during a designated week provides meaningful savings to families while generating additional foot traffic for retailers, restau- rants and other businesses near shopping centers. "People are being more cautious with their money," Bosse said. "Any savings can help." Andrew Markowski SALES TAX GENERATES 24.5% OF CT'S TAX REVENUE Fiscal year 2024-25 major revenue sources Source: Dept. of Revenue Services

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