Strong Final Payments Highlight April

May 17, 2019

Earlier this week, the Tax Commission released the TC-23 report for the month of April. Exceeding the current revenue target of 5.7%, General and Education Fund revenue collections totaled $6.4 billion through the first 10 months of FY 2019, representing a year-over-year (YOY) growth of 7.3%.

The strong surge in April revenue collections were due to final income tax payments within the Education Fund. In December and January, revenue collections were below target range at -4.6% and -3.9%, respectively. This was due in large part to incentives created by federal tax reform, thus yielding lower payments compared to the previous year.  With steady growth in the Education Fund during February and March, the YOY growth in the month of April exceeded projected growth rates as strong final income tax payments were made.

While the General Fund is below target, the revenue collections are still within target range at $2.2 billion through the first 10 months of the current fiscal year. Overall, consistent General Fund revenue collections, accompanied by increased growth in the Education Fund, indicate that total revenue collections for FY 19 are on target.

A snapshot of the collections is shown in the figure below:

More details of the revenue picture through 10 months is available here