A Tad More Revenue Than Expected In June — So Far Anyway

In a bright bit of budget news, income tax collections for June are running ahead of projections with $3.7 billion in estimated taxes received through June 20, according to the Franchise Tax Board.

Gov. Jerry Brown’s revised budget, unveiled in May, expected $3.6 billion to be collected by the Franchise Tax Board in June.

June has become the second largest revenue collection month for the state – almost as big as April.

That’s because the September estimated tax payment was eliminated in 2009 and the second quarter – payable June 15 – was bumped up from 30 percent of what’s expected to be owed for taxes to 40 percent.

The Brown administration predicts a total of $6.9 billion in income tax payments this June, less $291 million in refunds.

Through June 20, $164 million worth of refund requests have been filed.

Of the $6.9 billion, $3.1 billion is the money employers withhold from employee paychecks. That’s sent to the Employment Development Department.

The remaining $3.6 billion is collected by the Franchise Tax Board.

June is also a big month for bank and corporations collections.

Through June 20, corporate tax collections are running slightly ahead of estimates.

The governor’s Department of Finance expects $2 billion in corporate taxes less $67 million in refunds for a net of roughly $1.9 billion.

So far, $2 billion in taxes have been paid and $39 million in refund requests filed.



Filed under: Budget and Economy

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