MN Collects 9% More Than Expected In January

ST. PAUL, Minn. (AP) — State tax collectors did better than expected last month as individual taxpayers withheld and paid more income taxes.

Minnesota Management and Budget said Friday that the state collected $137.4 million more than anticipated in January. That’s 9.3 percent higher than forecast.

The extra cash puts the state $165.5 million ahead of projected revenues seven months into the current fiscal year.

Even so, Minnesota is facing a $6.2 billion deficit in the coming two-year budget period.

Management and Budget Commissioner Jim Schowalter says the January revenue might reflect attempts by some taxpayers to get ahead of April tax bills by sending in large fourth-quarter payments. The numbers also don’t include state spending patterns.

A complete budget forecast will be released at the end of February.

(© Copyright 2011 The Associated Press. All Rights Reserved. This material may not be published, broadcast, rewritten or redistributed.)

Comments

One Comment

  1. jon says:

    I always try to work it out so that I get a very small return or even pay in for taxes in April. I am not giving the Government an interest free loan all year.

    1. Cache says:

      Attaboy…I concur!

  2. Pete says:

    If the State can not accurately forecast one month of Tax Revenue, how do we know we really have a 6.2 Billion deficit. Being that wide off the mark would not be acceptable in any private business why is it O.K. for the State. Do we need a new forecaster or a new model to create projections.

Leave a Reply

Fill in your details below or click an icon to log in:

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s

More From WCCO | CBS Minnesota

Goin' To The Lake
The Leaderboard

Listen Live