MN Tax Revenues Exceed Projections by $463M
ST. PAUL (AP) - Minnesota's tax revenues for the budget year that ended June 30 came in $463 million ahead of forecast, and state officials say that means more money will be on its way to schools.
Minnesota Management and Budget says most of the extra revenue came from higher-than-expected individual income tax payments.
Some of that is attributed to stronger-than-expected economic growth. But the department believes much of it came from wealthy taxpayers shifting income from future years into 2012 to beat higher taxes, yielding a one-time gain that'll be offset in future years.
Still, Governor Mark Dayton says the quarterly update is good news for education because a bill he signed last session requires the state to use surplus revenue to accelerate repayments of money that previous legislatures borrowed from school districts.