Preliminary Report Shows Higher Than Expected Personal Income Tax Revenues
Just one month ago the House, Senate and governor finished a marathon budget battle where leaders had to fill a $1 billion gap. Now the state is getting its first look at how the economy is shaping up for the next two years.
For the first month of the new fiscal year, a preliminary report shows in July, the state collected $29 million more in personal income tax revenue than expected - 5% above estimates.
Last year, personal income tax revenue fell well below estimates for 11 months, ending $849 million short of projections. The fiscal year did end without budget cuts because of underspending in other areas.
The revenues from sales taxes are still sluggish, lagging behind estimates by 3%.
However, the commercial activity tax, or CAT, brought in $9 million more than expected.