Minnesota Revenues Miss Target by 9% in January
St. Paul, MN (KROC-AM News) - On the eve of the start of the 2020 session of the Minnesota Legislature, state officials have released a revenue review that shows a long run of higher than anticipated tax collections enjoyed by the state came to an end last month.
The Minnesota Office of Management and Budget says preliminary calculations show the state’s general fund revenues totaled just under $2.3 billion in January. That is $228 million, or 9-percent less than what was predicted by the most recent state revenue forecast that was issued in December.
Individual income tax payments were $180 million lower than predicted, while corporate tax collections and other revenues came in nearly $70 million below the projections. Sales tax revenues managed to beat the forecast by about $20 million at $592 million last month.
For the current fiscal year, which began last July, overall general fund revenues totaled $13.2 billion at the end of January. That is $76 million, or a little over a half percentage point, below the level predicted by the revenue forecast.
State officials say the data is preliminary and subject to revision but it raises the possibility the next state revenue forecast due to be released next month, might scale back the $1.3 billion budget surplus that was predicted by the November report.
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