Delayed tax payments have put a dent in state tax revenues.
The Indiana State Budget Agency reported general fund revenues for September totaled $1,621.5 million, which is $17 million or 1% below December estimates and $88.2 million or 5.2% below revenue in September 2019.
The state said income tax payments, which would have been made between April 15 and June 30 were extended through July 15 because of the pandemic. The state said overall, monthly collections between July and September were impacted by deferred and late payments and may have been influenced by the phased reopening of the economy in June as well as recent changes in federal policy on unemployment insurance benefits, economic impact payments, and interest rates.
As most of the general fund revenues come in between December and June and nearly 80 percent of revenues typically come in between October and June, trends between revenue actuals and estimates will be better interpreted in the coming months within the context of the longer trend for FY 2021. Going into the rest of the fiscal year, significant fluctuations are expected and deviations from monthly estimates are likely as the rapidly changing economic outlook and federal policy actions will most likely impact monthly collections.
Other budget highlights:
- Sales tax collections totaled $718 million for September, which is $10 million or 1.4% above the monthly estimate and $7.4 million or 1% above revenue in September 2019.
- Individual income tax collections totaled $579.5 million for September, which is $24.7 million or 4.1% below the monthly estimate and $104.3 million or 15.2% below revenue in September 2019.
- Corporate tax collections totaled $209.6 million for September, which is $14.6 million or 7.5% above the monthly estimate and $22.9 million or 12.3% above revenue in September 2019.
- Riverboat wagering collections totaled $15.1 million for September, which is $4.3 million or 22.1% below the monthly estimate and $5.7 million or 27.3% below revenue in September 2019.
- Racino wagering collections totaled $8.8 million for September, which is $1.5 million or 14.4% below the monthly estimate and $500,000 or 5.7% below revenue in September 2019.
The state said year-to-date sales tax collections totaled $2,216 million, which is $79.9 million or 3.7% above the December 2019 revenue forecast and $136.4 million or 6.6% above collections through the same period in the prior fiscal year.
