State Tax Revenue Collections Were Down In April
For the ninth time in the last ten months, state tax revenues in April came in below estimates. That is raising questions among lawmakers working on the upcoming two-year state budget bill. Ohio Public Radio's Karen Kasler reports.
State budget director Tim Keen says that April’s preliminary numbers show revenues were $159 million below estimates, led by lower income and sales tax collections.
“The story’s the same for the fiscal year – GRF tax revenues are $773 million, or 4.2% below estimates, with the income tax and the non-auto sales tax accounting for $756 million of that shortfall.”
But Keen told the Senate Finance Committee that because of underspending, especially in Medicaid, he still thinks the state will end this fiscal year without having to make cuts. Keen says by his math, the House budget for the next two years cut $632 million of the $800 million Governor John Kasich said needed to be cut from his budget. The rest of the cuts would be up to the Senate.