Net state receipts from July through December totaled more than $3.164 billion, which was $264.8 million higher than the first six months of fiscal 2012, according to Jeff Robinson of the Legislative Services Agency. That represented a 9.1 percent growth rate but it was slightly skewed by calendar issues that likely will see January dip due to the alignment of processing days in comparing the two fiscal years, he said.
“I don’t think January is going to be very good because of the benefits December got” from having more processing days last month than December 2011. The calendar issue meant personal income tax withholding was unusually high which contributed to the 14.7 percent monthly jump in receipts. State corporate income tax receipts grew by 12.8 percent and sales/use tax collections were up 3.6 percent in December.
Through the first half of the current fiscal year, personal income tax collections are $123.7 million ahead of fiscal 2012, while corporate tax receipts grew by $50.7 million and sales/use receipts are up $38.1 million.
“It’s pretty good,” Robinson said. “It’s not quite as good as it seems, but it’s still pretty good.”
The state Revenue Estimating Conference last month projected the state treasury would end fiscal 2013 next June 30 by taking in nearly $6.407 billion, which would be a 3.3 percent increase over last fiscal year. Conference members said they wanted to err on the low side given the uncertainty over federal debt and spending issues and the continued dry weather that could mean a prolonged drought negatively impacting Iowa agriculture.
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