Wednesday, September 02, 2009
Good News in Bad News
Although almost all of the state revenue numbers are headed in the wrong direction, the state closed out FY 2009 only $348 million below the official March revenue estimates, not the $400 million as recently speculated by some observers.
David Roose, Director of the Board of Revenue Estimates, noted that this was only the third time in 40 years that state general fund revenues had fallen from the prior year. Corporate income tax receipts were nearly flat, but would have fallen by 10 percent if not for the recent corporate income tax rate increase. Despite the recession, business entity annual filing fees grew by 2.7 percent, suggesting that the number of corporations, LLCs and other business forms continue to grow. Stay tuned for updated state revenue estimates on September 17. See Roose’s letter here.
Contact Ron Wineholt for further information at .(JavaScript must be enabled to view this email address).
