Governor Northam Announces February 2018 General Fund Revenue Collections Up 10.9% from the Previous Year; Fiscal-Year-To-Date Collections Up 6.2%
~Payroll Withholding Accounted for the Gain~
RICHMOND – Governor Northam announced today that, although February is not a significant month for collections, revenue increased 10.9 percent. On a fiscal year-to-date basis, total revenue collections rose 6.2 percent, ahead of the annual forecast of 3.4 percent growth.
“I am pleased to see strong revenue numbers for February, indicating that Virginia’s economy remains on a strong path,” said Governor Northam. “While this shows that the Commonwealth continues to move in the right direction, we must also be cautious and mindful of the ongoing biennial budget negotiations and continuing uncertainty coming from Washington that reinforce the need to maintain a conservative approach as we move forward.”
Collections of payroll withholding taxes rose 11.8 percent in February. Collections of sales and use taxes reflecting January sales rose 3.6 percent in February. As the individual income tax filing season enters into full swing, the Department of Taxation issued $442.6 million in individual refunds in February compared with $429.5 million last year.
On a year-to-date basis, collections of payroll withholding taxes – 64 percent of General Fund revenues – increased 5.6 percent, ahead of the annual forecast of 3.5 percent growth. Sales tax collections – 18 percent of General Fund revenues – increased 3.2 percent through February, ahead of the annual forecast calling for a 3.0 percent increase. Total revenues rose 6.2 percent through February, ahead of the annual forecast of 3.4 percent growth.
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