State revenue grows amid national struggles

The state’s fiscal 2008, which began July 1, has seen revenue collections rise to $1.91 billion, compared to $1.84 billion in year-to-date 2006. Collections in September grew 5.8 percent to $784.1 million, compared to $741.2 million last September.

Sales and use tax collections are up for the year – by 2.6 percent to $513.5 million – but were down 5 percent for the month.

Individual income tax collections saw the largest increase, climbing 7.4 percent for the year to $1.28 billion and 11 percent for the month.

Meanwhile, corporate income and corporate franchise tax collections experienced modest growth, increasing 2.9 percent for the year to $141 million, from $137 million last year. Those collections for the month were down 0.9 percent.

All other collections decreased 2.3 percent for the year to $108.4 million, from $110.9 million last year; they increased 26 percent for the month.

Refunds increased 34.4 percent for the year to $129.3 million, from $96.2 million last year, and increased 45.3 percent for the month.

Despite growth due mostly to gains in individual income tax collections, “the national economy is clouded by uncertainty resulting from the struggles of the housing and financial markets in the last several weeks,” according to the report. “Should these difficulties spill over into the broader economy, Missouri’s revenue growth may begin to reflect these general market conditions.”[[In-content Ad]]