State Tax Revenue Falls 5% in January

Net available general revenue totaled $634.2 million, down $33.1 million from last year. The sum was $15.3 million, or 2.5%, above forecast, driven primarily by higher individual and corporate income tax collections.

Gross general revenue reached $722.7 million, a decline of $45 million, or 5.9%, from last year. It was $17.5 million, or 2.5%, above forecast.

“The new year began with encouraging results, with January’s individual and corporate income tax revenue collections coming in above forecast,” DFA Secretary Jim Hudson said in a statement. “Year-to-date net general revenues are $44 million above forecast, and we remain positive concerning our revenue forecast for the year. With income tax filing opening last week, we are entering a busy time for DFA’s Income Tax Division, which has already processed several thousand individual returns.”

Individual income tax collections in January totaled $349.9 million, down $29.9 million, or 7.9%, from last year due to one less payday affecting withholding collections. The total was $13.7 million, or 4.1%, above forecast. Refunds were $3.6 million, down $3.5 million from last year and $1.4 million under forecast.

Sales and use tax collections totaled $298.3 million, a decrease of $3.9 million, or 1.3%, from last year and $9.4 million, or 3%, below forecast.

Corporate income tax collections reached $41.9 million, down $12.4 million from last year but $11.7 million above forecast. Refunds totaled $18.4 million, $7.2 million lower than last year and $4.5 million over forecast.

Among smaller revenue sources, tobacco tax collections totaled $14.3 million, down $400,000 from last year but $500,000 above forecast. Gaming revenue was $4.9 million, down about $100,000 from last year and below forecast by $300,000.