Thursday, February 4, 2021

CommonWealth Magazine: "State tax collections continue to surprise"

"JANUARY TAX COLLECTIONS  obliterated the Baker administration’s expectations, coming in almost a half-billion dollars above the Department of Revenue’s already-upgraded monthly benchmark and helping to brighten the state’s financial picture heading into a fresh round of budget deliberations.

DOR collected $3.347 billion from taxpayers last month, which is $392 million, or 13.3 percent, greater than what the state collected in January 2020 and $429 million, or 14.7 percent, above DOR’s benchmark for the month, which had already been boosted by $180 million from an earlier estimate.

“January revenue included increases in withholding, income estimated payments, regular sales tax, and ‘all other tax,’ as well as a decrease in meals tax,” Revenue Commissioner Geoffrey Snyder said. “The increase in withholding is likely related to unemployment insurance benefits and bonus related payments, and income estimated payments were strong likely because of 2020 investment-related income gains. The increase in ‘all other tax’ is primarily attributable to estate taxes, a category that tends to fluctuate.”

Continue reading the article online

No comments:

Post a Comment