It’s Become a Rarity – February MN Tax Collections Missed Target
St. Paul, MN (KROC-AM News) - Less than two weeks after the release of a new state revenue forecast that projects a more than $9 billion budget surplus, tax collections last month fell short of the new target.
A report issued Thursday by the Minnesota Office of Management and Budget shows the state's net general fund revenues last month totaled about $1.3 billion. That was $75 million, or 5.4 percent, under the level predicted by the new state revenue forecast.
For the current fiscal year, state revenues are just under $17.5 billion.
Thursday's report indicates individual income tax payments accounted for the entire shortfall. The total was $592 million, which was $75 million less than expected. Sales tax revenues exceeded the forecast by $28 million, which was enough to make up for lower than expected corporate tax collections and revenues from fees and other miscellaneous sources,
State officials note the totals should be considered preliminary and could be revised. They also stress that revenue variances in the monthly reports should be "interpreted with great caution."