Tax Collections Top Forecast as Minnesota Starts New Fiscal Year

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St. Paul, MN (KROC-AM News) - The State of Minnesota started its new fiscal year on a positive note.

The Office of Management and Budget says net general fund revenues for the month of July, which is the first month of fiscal year 2023, exceeded projections by about 3.8%. The total was nearly $1.8 billion, which was $64 million above the level predicted by the most recent state revenue forecast that was issued in February.

The monthly report shows general sales tax revenues totaled $720 million, or more than $100 million higher than forecast. Individual income tax collections came $12 million below the projection at $895 million while corporate tax payments missed the mark by $24 million with about $59 million collected.

The State of Minnesota finished fiscal year 2022 with net general fund revenues of more than $30.3 billion. That total was nearly $3 billion or 10.7% higher than the February state revenue forecast had predicted.