Minnesota’s Tax Haul Ran $336M Above Projections
ST. PAUL (AP) – Tax revenue has flowed more heavily to Minnesota government than finance officials were hoping, but they’re not ready to give the all-clear on the state’ budget outlook.
The Department of Minnesota Management and Budget says the state took in $336 million more than anticipated in the fiscal year that ended June 30. Most of the excess was from stronger individual income tax collections. Sales and corporate taxes were also more robust.
Agency officials say the U.S. and state economies are expected to grow at a slower clip than previously forecast. That could spell trouble on the budget horizon.
A deficit is forecast to reappear for the two-year budget cycle due to begin next July, and the state remains behind on school aid checks.
(Copyright 2012 by The Associated Press. All Rights Reserved)