Income Tax Revenue Up For Two Straight Months, Bringing Up Overall Surplus
For the second month in a row, the state has brought in more personal income tax revenue than it budgeted for, meaning its surplus is growing.
The state’s personal income tax haul for May was up nearly 16 percent from estimates. Two months of double-digit percentage increases brings the total income tax take for the fiscal year to more than 5 percent over what was budgeted. But sales tax, which has raised concern all year, was down, but only half a point, and the alcohol beverage tax was also off nearly 12 percent from forecasts. The overall tax total for the fiscal year is now running more than 2 percent above estimates, which translates to a surplus of more than $418 million. A year ago, lawmakers were working to trim $800 million from their two-year budget because revenues were so far off estimates.