The Department of Revenue yesterday released September revenue figures showing a monthly collection that was $178 million more than that of a year ago, and was $141 million above the monthly benchmark.
For the first quarter of FY12, revenue is now up $310 million from a year ago, and is $190 million above benchmark.
The tax collection summary that accompanies the September press release shows that virtually of the revenue growth came from income tax collections, and, in particular, growth in income withholding ($69 million) and in cash estimated payments ($66 million), while the amount of refunds paid out ($20 million) was less than forecast.
The release notes that some of the growth in withholding may be timing related; that is, payments due in October may have come in early, at the end of September.
The growth in cash estimated payments leaves still to be determined whether those payments will reflect capital gains taken this year, or if they are coming from taxpayers who have to make estimated payments this year because they did so last year. If those payments do not reflect current gains or dividends, at least some of this revenue will eventually be refunded.
Several one-time tax settlements totaling $71 million bumped up corporate tax collections to $14 million above benchmark.
And the sales tax collection, which is a measure of consumer spending and confidence, was pretty much flat for the month. Regular sales tax collection was equal to that of a year ago; small growth came in meals tax ($3 million more than a year ago) and sales tax on motor vehicles ($4 million more than a year ago).
All in all a pretty good month that keeps the Commonwealth on track later this year for a possible December certification of a .05 percent reduction in the income tax rate (from 5.30 to 5.25 percent), but a month that also had some trends that bear watching.
Courage at Work posted on Sep 1
“I was amazed that Mark and so many senior staffers took time out of their busy and hectic schedules to be supportive of me and the ALS cause,” she said. “It proves that no matter how challenging work is, there’s always time to show a little love.”
VIDEO: Introducing MassTaxConnect! posted on Aug 24
Take a look at our newest video introducing you to MassTaxConnect, our new, modernized online tax system. Hear from Commissioner Mark Nunnelly and several DOR employees about what to expect come November 30th when we launch MassTaxConnect for business taxpayers, practitioners, and professionals. Get an …Continue Reading VIDEO: Introducing MassTaxConnect!
What’s New with MassTaxConnect? posted on Aug 13
MassTaxConnect for Massachusetts Business Taxpayers Available November 30, 2015! Things are about to get easier and faster for Massachusetts business taxpayers. MassTaxConnect will replace WebFile for Business later this year and will feature the best of what WFB offers plus state-of-the-art enhancements to make tax …Continue Reading What’s New with MassTaxConnect?