Governor Dannel P. Malloy's anti-business budget won't take effect, until July 1, but already the fallout has begun. Upset that the budget will tax Internet sales, Overstock.com is withdrawing from Connecticut's online market. Those, who get hurt, however, are the Connecticut entrepreneurs, who turned a buck with their Internet business savvy.
People from Connecticut, whose websites linked to Overstock, would receive a commission from Overstock, if business was generated from their website. Thanks to Dannel 88's budget, Overstock will now be taxed for those sales. So they are leaving the state, drying up another income source for the state's people.
What does this all mean? Well, the Connecticut Internet entrepreneur, unless their name was Timothy Geithner, presumably reported income made from these transactions. The state will no longer receive that income tax. And Overstock, along with others, is now withdrawing their business from Connecticut.
Dannel 88's reaction to this action? "I have never purchased anything from Overstock personally and I am not all that familiar with how much business they are doing in the state, to tell you the truth," he told the Republican-American. This from the governor who wants to attract high tech jobs to the state and proclaims "Connecticut is open for business." Meanwhile, those people with the ability to earn money from the Internet are penalized, thanks to the largest tax hike in Connecticut history.
What the Overstock story exemplifies, even if Dannel 88 has "never purchased anything from" them, is that the exodus has begun, as predicted by those intelligent enough to critically assess Dannel 88's budget. And it isn't even June.