I received notice that I did not file my state taxes in 2006 and when I looked at my W2 I realized no taxes were taken out. I worked 2 jobs that year and made over 29000 why weren't my taxes taken out?

You'd have yto ask your employer(s) that question. However, CT provides a personal exemption of up to $12K, or $24K if married, so perhaps you didn't make enough in either job to trigger withholding.

What ebaines says makes sense, but you need to note that, even if the taxes were NOT withheld, you STILL have an obligation to file and pay the state income tax if your income exceeds certain minimums, which obviously you did for 2006.

This problem is NOT going away, so you need to file and pay the tax. When you file, ask the state to WAIVE all penalties and interest. The worst thing that can happen is that they say NO!