Robert R. Bliss
Revenue collection up $40 million over last August, $13 million below monthly benchmark; year-to-date collections are $49 million over benchmark
Revenue Commissioner Navjeet K. Bal today announced that preliminary revenue collections for August 2011 totaled $1.426 billion, up $40 million or 2.9 percent from last August.
Total tax collections were $13 million below the August monthly benchmark based on the FY12 revenue estimate of $20.615 billion. Fiscal 2012 year-to-date collections are now $49 million above benchmark.
August is not a large month for tax revenue collections since there are no quarterly payments for most taxpayers. "We saw above benchmark performance in corporate & business tax collections, due in part to lower than expected refunds and a one-time payment, and estate tax collections, but withholding collections were below benchmark, partly because of timing issues that shifted some collections into July from August," Commissioner Bal said.
August income tax withholding totaled $762 million, down $18 million or 2.3 percent and $61 million below benchmark. Sales tax collections totaled $420 million, down $3 million or 0.8 percent and were $12 million below benchmark. Corporate/business tax collections totaled $50 million, up $39 million and $35 million above benchmark.
In addition, there was a one-time tax settlement payment in excess of $10 million received in August. A new statutory provision passed as a part of this year's budget requires one-time settlement payments in excess of $10 million to be deposited in the Stabilization Fund.
It is important to note that with the exception of motor vehicle sales tax revenue which is received daily, August sales and use tax collections do not reflect the impact of the sales tax holiday on August 13 and 14. Sales tax collections for August are due no later than September 20th and will be reported in the September revenue report that will be released in early October. Regular sales tax data in this report reflects sales in July.
Overall collections for FY12 (the months of July and August combined) of $2.870 billion are up $132 million or 4.8 percent ahead of that of a year ago and are $49 million above benchmark. Income tax collections are up $62 million or 4.1 percent, $9 million below benchmark. Sales and use tax collections are down $4 million or 0.5 percent and are $12 million below benchmark. Corporate and business tax collections are up $39 million or 66.5 percent and are 34 million above benchmark.