State tax receipts have been far below forecasts, but the latest figures indicate they might be leveling off.
Nebraska Tax Commissioner Tony Fulton reports the latest numbers show net tax receipts down slightly from the $376 million forecast.
“Well, they don’t look as bad,” Fulton says with a chuckle in an interview with Nebraska Radio Network affiliate KLIN. “That’s the way I would say it. For the month of January, we actually were still under projection, but we weren’t under the projection as much as we were in previous months.”
In January, net individual state income tax receipts were 4% below forecast. Net corporate income tax receipts were up almost 35%. Net sales and use tax receipts were up slightly over January’s forecast.
Fulton says the January tax receipts, while still below projections, might provide a bit of optimism for the state.
“Not as bad as it has been in previous months,” Fulton says. “In that regard, it sure looks like we might be evening out, at least with respect to projections. But, I’ll just remind people, that accumulatively for the fiscal year, we’re still $54 million down from the projection.”
State lawmakers have had to adjust to sinking tax receipts, approving $137 million in budget cuts for the current fiscal year. Those cuts will offset some of the projected $900 million revenue shortfall projected for the upcoming two-year state budget.
Jane Monnich, KLIN, contributed to this report.
