Posted by Ellie Wheeler on May 6th 2014
Good news and bad news in the latest state revenue report from the Department of Finance and Administration (DFA). The April revenue summary released today by DFA revealed an anticipated decrease in net general revenue for the month. April net general revenue dropped $72.6 million or -11.3 percent from last year, but was right on target at only -0.1 percent below the Department's state fiscal year 2014 forecast. The bulk of this decrease was due to smaller Individual income tax collections, down $101.7 million or -17.9 percent from one year ago due to a "one-time boost" in FY 2013 that was not repeated this year.
Net general revenue represents the bottom line of funds available for distribution to state agencies and is calculated by taking certain off-the-top deductions from gross general revenue (like education adequacy funding and tax refunds). The year-to-date numbers as of the latest revenue summary are at $4,168 million, totaling $22.2 million or 0.5 percent more than collections at this time last year. The anticipated year-to-date decline in personal income tax collections because of last year's one time boost was offset by higher collections in corporate income taxes ($30.3 million or 9 percent above last year and $34 million or 10.2 percent above DFA's forecast); and in sales use taxes, which were $55.6 million or 3.2 percent from above FY 2013 but $14.2 million or -0.8 percent below forecast for the year.
The Department also noted a $36.7 million or -2.3 percent dip in year-to-date revenue from the Soft Drink Tax. The Education Adequacy Fund, which gather's revenue from sources like the sales tax, selected services, and corporate franchise taxes, also saw a 6.2 percent increase compared to April of last year.