Revenue Commissioner Alan LeBovidge today announced that preliminary revenue collections for fiscal 2006 were $18.487 billion, an increase of $1.399 billion or 8.2 percent over fiscal 2005 collections. The previous record for revenue collections was set last year with $17.088 billion.
The total is also $329 million above the revised fiscal 2006 benchmark of $18.158 billion. Fiscal '06 collections surpassed the original revenue estimate, used in compiling the state budget, by more than $1 billion.
Revenue collections in June hit $2.036 billion, a record for the month. That total dwarfed last June's collections by $205 million or 11.2 percent. The June total also outstripped the monthly benchmark by $132 million.
"Obviously, this was a good year for revenue," LeBovidge said. "Income taxes, especially those associated with investment income, and corporate taxes were the leaders. Sales and use tax collections topped $4 billion for the year, but fell a little short of the estimate. Our move to more effective collection methods is certainly a factor as well."
Income tax collections for the fiscal year were $10.483 billion, an increase of $793 million or 8.2 percent. Income tax withholding collections totaled $8.122 billion, an increase of $448 million or 5.8 percent. Sales and use tax collection for the fiscal year were $4.004 billion, an increase of $118 million or 3.0 percent. Corporate and business tax collections for the fiscal year were $2.256 billion, an increase of $550 million or 32.3 percent.
Income tax collections for June totaled $1.048 billion, an increase $134 million or 14.7 percent over last June. Income tax withholding collections totaled $668 million, an increase of $64 million or 10.5 percent. Sales and use tax collections were $343 million, a decrease of $10 million or 2.9 percent. Corporate and business tax collections were $469 million, an increase of $88 million or 23.0 percent.
The delay in announcing the monthly and yearly revenue collections was due to DOR's annual application of the Generally Accepted Accounting Principles. Over the next month, DOR, the state comptroller, state auditor and the Commonwealth's outside auditor will finalize the fiscal 2006 total tax collections.
June 2006 Tax Collection Summary - Preliminary as of July 17, 2006 (PDF)