Tax collections for the past month were $72.7 million, or 4.3 percent, above expectations and only some of it is considered to be an anomaly.
Due to the timing of certain tax payments, monthly tax collections can spike or dive somewhat artificially without giving an accurate picture of economic activity. In a new report posted today, the state’s Economic and Revenue Forecast Council indicates that’s certainly at play here. That means that next month’s report will likely be lower than it otherwise would be.
But in today’s report the Council indicated the $20 million positive variance in real estate excise tax collections should remain as the housing sector shows signs of improvement.
The Council isn’t scheduled to issue a new quarterly forecast until March 20. The Legislature will use that forecast to write the state’s 2013-15 operating budget.