Minnesota 2024 Tax Collections Now Nearly $500M Above Forecast
St. Paul, MN (KROC-AM News) - It appears the State of Minnesota is building up another significant budget surplus.
A new Revenue and Economic Update issued by the Minnesota Office of Management and Budget shows overall tax collections and revenues through the first quarter of the fiscal year exceeded $7.6 billion. That is $234 million, or 3.2%, above the level that was predicted by the latest update of the state revenue forecast that was issued in February.
The report shows individual income tax payments totaled just under $4 million, which was 4.7% above the forecast. Sales tax revenues exceeded $2 billion and came in more than 5% higher than predicted.
The state agency also reported miscellaneous revenues from fees and other sources beat the forecast by almost 29%, while corporate tax payments fell 1.6% under the projected level
Since the beginning of the fiscal year, Minnesota's net general fund revenues have reached about $30.3 billion. The report indicates that is $494 million, or 1.7%, more than what was predicted in the February state revenue forecast.
Looking ahead, the economic consultant used by the state for its projections is saying that the forecast for the US gross domestic product growth has improved since the forecast was last updated. The firm is now projecting the nation’s real GDP will grow 2.7% this year, and 2.1% next year. The earlier forecast predicted growth of 2.4% this year and 1.6% the following year.
Making The Grade: Southeast Minnesota School Test Scores
Gallery Credit: T.J. Leverentz