Our previous post pointed to the inflation problem and possible consequences. But the state controller tells us that at the moment, the state is rolling in cash. For the first nine months of the fiscal year 2021-22, revenues (mainly taxes) to the general fund totaled $155.1 billion. Back in January when the governor proposed his budget for next year, revenues at this time were projected to be "only" $137.1 billion. And back last June when the budget for this year was enacted, revenues were forecast to be "only" $116.1 billion. So we received $18 billion more than expected in January and $39 billion more than was originally forecast back last June.
Most of the unexpected revenue is coming from the corporation tax (so higher than expected profits) and from the personal income tax (so top earners doing better than expected).
Hint to Regents: Get it while you can.
The latest controller's cash report is at https://sco.ca.gov/Files-ARD/CASH/MARCH2022StatementofGeneralFundCashReceiptsandDisbursements.pdf.
No comments:
Post a Comment