Print this Article

State Revenues for July Ran Higher than Budget Act Forecast

September 9, 2019

After finishing fiscal year 2018-19 above the 2019-20 Budget Act forecast by $1.041 billion, preliminary General Fund agency cash for July, the first month of the 2019-20 fiscal year, was $533 million above the 2019-20 Budget Act forecast of $7.794 billion.

—Personal income tax revenues for July were $364 million above the month’s forecast of $5.403 billion. Withholding receipts were $353 million above the forecast of $5.06 billion. Other receipts were $11 million higher than the forecast of $762 million. Refunds issued in July were $7 million lower than the expected $322 million. Proposition 63 requires that 1.76 percent of total monthly personal income tax collections be transferred to the Mental Health Services Fund (MHSF). The amount transferred to the MHSF in July was $7 million higher than the forecast of $97 million.

—Sales and use tax receipts for July were $25 million above the month’s forecast of $1.732 billion. July is the first month of the 2019-20 fiscal year and includes the final payment for second quarter taxable sales, which was due July 31.

—Corporation tax revenues for July were $119 million above the month’s forecast of $357 million. Estimated payments were $146 million above the forecast of $290 million, and other payments were $63 million lower than the $162 million forecast. Total refunds for the month were $36 million lower than the forecast of $95 million.

—Insurance tax cash receipts for July were $4 million above the month’s forecast of $22 million. Cash receipts from alcoholic beverage taxes, tobacco taxes, and pooled money interest were $15 million above the month’s forecast of $100 million. “Other” revenues were $6 million above the month’s forecast of $180 million.

Source: California Department of Finance



A Total School Solutions publication.