General Fund Revenue Report - November 2022

By Eric Dice , Assistant Executive Director | 2 months ago

General Fund revenues were $201.9 million or 6.8% lower than expected in November, a result driven by a technical timing issue. Year-to-date, revenues stand $183.2 million, or 1.2% above the official estimate.

This past week, the Department of Revenue completed upgrades to its tax processing system to provide an improved experience for taxpayers. This work delayed recognition of some revenue received during the system upgrade period and affected the normal deposit timing of certain tax types using the system. Most notably, the personal income tax employer withholdings received on the last day of the month will not be counted as part of November as assumed, but instead rolled into December.

The net effect is a temporary shortfall in November from the timing shift, which will largely resolve itself in December.

For November

  • Total General Fund collections were $201.9 million lower than expected (-6.8%)
  • General Fund tax revenues were $225.6 million lower than anticipated (-7.9%)
  • The corporate net income tax was $3.2 million lower than expected (-1.8%)
  • Sales and use tax collections just under the estimate by $222,000 (0.0%)
    • Non-motor collections were $20.3 million higher than projected (2.0%)
    • lt;span style="font-size:10.0pt">Motor vehicle collections came in below estimate by $20.5 million (-16.7%)
  • Personal income tax collections were $178.3 million under the official estimate (-15.2%)
    • Employer withholdings on wages and salaries were $173.3 million lower than anticipated (-15.7%)
    • Non-withheld PIT payments were $5.0 million less than expected (-7.3%)
  • Cigarette taxes were $9.5 million under estimate (-10.4%)
  • Realty transfer tax revenues were $15.7 million below estimate (-25.4%)
  • Inheritance tax collections were $11.9 million lower than estimated (-9.8%)
  • Non-tax revenues were $23.7 million above the official estimate (21.1%)

For the 2022/23 Fiscal Year to Date

  • Cumulative General Fund revenues are $183.2 million higher than expected (1.2%)
  • General Fund tax revenues were $118.5 million higher than projected (0.8%)
  • Corporate net income tax revenues are $213.2 more than expected (14.7%)
  • Sales and use taxes are $137.1 million more than expected (2.4%)
  • Personal income tax collections are $177.8 million lower than projected (-2.9%)
  • Cigarette taxes are $35.4 million below estimate (-8.7%)
  • Realty transfer taxes are $3.4 million below estimate (-1.1%)
  • Inheritance taxes are $22.4 million below projections (-3.7%)
  • Non-tax revenues are $64.7 million above the estimate (28.6%)

 

General Fund Revenues - Year-to-Date Performance vs Official Estimate
Through November 2022
  YTD Estimate YTD Revenues Difference
Corporation Taxes
Accelerated Deposits $0.0 −$3.4 −$3.4
Corporate Net Income Tax $1,452.9 $1,666.1 $213.2
Gross Receipts Tax $20.4 $24.6 $4.2
Utility Property Tax $1.1 $3.3 $2.2
Insurance Premiums Taxes $27.2 $25.9 −$1.3
Financial Institutions Taxes $16.2 $13.8 −$2.4
Subtotal - Corporation Taxes $1,517.8 $1,730.2 $212.4
Consumption Taxes
Sales and Use Tax $5,812.8 $5,949.9 $137.1
Cigarette Tax $406.3 $370.9 −$35.4
Other Tobacco Products $67.7 $63.9 −$3.8
Malt Beverage Tax $9.4 $10.0 $0.6
Liquor Tax $180.1 $182.6 $2.5
Subtotal - Consumption Taxes $6,476.3 $6,577.2 $100.9
Other Taxes
Personal Income Tax $6,214.8 $6,037.0 −$177.8
Realty Transfer Tax $299.5 $296.1 −$3.4
Inheritance Tax $610.1 $587.7 −$22.4
Gaming $127.7 $145.4 $17.7
Minor and Repealed $1.6 −$7.3 −$8.9
Subtotal - Other Taxes $7,253.7 $7,058.9 −$194.8
 
Non-Tax Revenue $226.5 $291.2 $64.7
General Fund Total $15,474.3 $15,657.5 $183.2

 

 

General Fund Revenue Report - November 2022

By Eric Dice , Assistant Executive Director | 2 months ago

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