Vermont Business Magazine Led by another strong showing by the vital Personal Income tax, General Fund tax revenues have pushed to nearly $64 million ahead of projections for the fiscal year with one month left. Revenue collections for the month of May 2018 totaled $95.87 million, $9.44 million above the consensus cash flow expectation for the month. Most of the surplus revenue collected was Personal Income and Estate Tax, $4.21 million and $4.15 million, respectively. Year to date the General Fund is ahead of target by $63.77 million, most from Personal Income that is over target by $34.56 million and Corporate Income that is over by $17.47 million.
“In light of the additional surplus reflected in May’s revenues, the governor plans to convene the Emergency Board to consider a revised official revenue forecast for FY18. At this time, it is likely that at least an additional $11 million, in addition to the $44.2 million in surplus recognized by the Emergency Board on May 7, will be available for appropriation during the Special Session,” stated Administration Secretary Susanne Young. “Vermont has collected $63 million more than expected since January 2018 in tax revenues alone. The additional $11 million should be deemed available for appropriation during the special session.
"Added to the $44.2 million in surplus recognized in May, there is sufficient tax revenue available to avoid residential and non-residential statewide property tax rate increases in FY19, as well as to make a payment towards the unfunded liability in the Vermont Teachers’ Pension Retirement System or for some other Legislative priority.”
May marks the eleventh month of fiscal year 2018. Monthly and cumulative targets are measured against the revised con-sensus forecast for this fiscal year adopted by the Emergency Board on January 18, 2018.
Year to date, the Transportation Fund collected $25.57 million, +$1.42 million above its $24.15 million target while the Education Fund collected $15.84 million for the month, $0.54 million ahead of the consensus target of $15.30 million.
The Transportation Fund is ahead of target by $1.75 million while the Education Fund is ahead by $3.87 million.
Compared to this time in FY 2017, the General Fund revenues are up by $94.75 million ($1,417.60 million vs. $1,322.85 million). The Transportation and Education Funds are both ahead of last fiscal year by $8.55 million and $10.46 million, respectively.
Source: Administration 6.5.2018