October Tax Revenues Hit Double-Digit Points Over Estimate

October Total Tax Revenues Hit Double-Digit Percentage Points Over Estimate

Topeka, KS (STL.News) The State of Kansas continues to see revenue growth over the same month of the last fiscal year.  October’s total tax receipts were $596.6 million, an 11.7% or $62.6 million increase over the estimate.  That is 7.9%, or $43.6 million, more than October of Fiscal Year 2020.

“As the COVID-19 pandemic continues to impact Kansans and threaten our state’s economic uncertainty, Congress must pass an economic relief bill,” Governor Laura Kelly said.  “While the positive revenue trends are encouraging, the future of this revenue growth will be tied to the support we get from Washington and to every Kansas community using the tools we know work to slow the spread of COVID-19.”

Individual income tax collections were $283.6 million, a 9.1%, or $23.6 million, increase from the estimate.  That is 9.1%, or $23.6 million, more than collected in October of FY 2020.  Corporate income tax collections were 74.0%, or $11.1 million, more than estimated with $26.1 million collected.  That is a 0.5%, or $138,011, decrease from last October.

Retail sales tax collections were up $13.0 million from the estimate with $211.0 million collected.  Those collections are 5.1%, or $10.2 million, more than the same month last fiscal year.  Compensating use tax collections were $50.7 million.  That is a double-digit growth of 30.0%, or $11.7 million, more than the estimate.  Those collections were also 21.6% more than the previous October.

“This revenue growth, while unmistakably positive, has to continuously be assessed against the backdrop of the COVID-19 pandemic and the uncertainty it causes for the economy going into the winter months,” Kansas Department of Revenue Secretary Mark Burghart said.

The Consensus Revenue Estimating Group meets Friday, November 6, to discuss the economic outlook of the state and the State General Fund.  The Consensus Revenue Estimating Group is made up of representatives of the Division of the Budget, Department of Revenue, Legislative Research Department, and one consulting economist each from the University of Kansas, Kansas State University, and Wichita State University.

Please find the revenue numbers here.

STL.News References:

  1. Kansas
  2. Laura Kelly

Source link