Minnesota Tax Collections Miss Target in February and March

St. Paul, MN (MinnesotaNow) - Higher-than-expected income tax refunds are being cited as the main reason overall state revenues were significantly lower than expected in February and March.

State Revenues $182 Million Short

A new report published by the Minnesota Office of Management and Budget shows that net general fund revenues for the two-month period totaled $3.779 billion. That is $182 million, or 4.6%, below the level forecast in the state revenue report issued in February.

Get our free mobile app

Income Tax Payments Well Below Target

The state agency reported that income tax payments were $126 million, or 7.6%, less than predicted. The report indicates that gross tax revenues actually came in $17 million above the forecast, but that was offset by tax refund payments that were $142 million, or 8.9%, higher than projected.

Corporate tax payments for February and March were about $15 million, or 3%, below the forecast, and miscellaneous revenues from fees and other sources were more than $58 million, or 8%, lower than predicted.

The state sales tax was the only revenue category that beat the forecast. Payments were $17 million, or 1.5%, higher than predicted.

More Minnesota News:

• FBI Involved in Search for Missing Stewartville Teen With Autism
• Albert Lea Local Hits Massive Jackpot at Diamond Jo
• Doctors In Rochester, Minnesota Now Earn The Most In America