State revenue finishes up for year ending June 30 | Arkansas Blog

Tuesday, July 2, 2013

State revenue finishes up for year ending June 30

Posted By on Tue, Jul 2, 2013 at 10:38 AM

Here's the year-end report for Arkansas's 2013 budget year, which ended June 30.

There was a surplus of almost $300 million and net revenue was up 6.3 percent over the year before.

This isn't so robust as it might appear. Individual income tax revenue was affected by income shifting into tax year 2012 to avoid higher federal income tax rates and thus higher estimated tax payments. Withholding from wagers increased only modestly.

Sales and use tax collections — a backbone of revenue — increased only 1.1 percent, against expected growth of 2.5 percent. Corporate income tax collections were 1 percent below collections last year. The state also spent less than expected on school desegregation payments and economic development incentives.

So, though the Tea Party might lust for more tax breaks (and several were extended in this legislative session, including to rich people with a capital gains tax cut), these numbers don't seem to argue for room for another general reduction. At least not without commensurate cuts and services.

However, gross revenue in June alone was up 6.9 percent over last year and sales taxes were up more than 3 percent in that figure. So the trend isn't terrible.

All of which reminds me: A bottom line seems to be developing on the controversy over parole and probation practices. More paroles are going to be revoked. More offenders are going to be going back to state prison or other forms of detention. This costs a lot of money.

Tags: , , ,

From the ArkTimes store



Showing 1-1 of 1

Add a comment

Subscribe to this thread:
Showing 1-1 of 1

Add a comment

More by Max Brantley

Readers also liked…

  • Charter school accountability: Non-existent in Arkansas

    A state audit finds charter school spending violated state law, but the state Education Department says it has no responsibility for ensuring proper management of charter schools. Say what?
    • Mar 5, 2016
  • Among the last words from Kenneth Williams: 'Finger Lickin' Good Fried Chicken'

    What's purported to be a final-words essay from condemned prisoner Kenneth Williams was distributed today by Deborah Robinson, a freelance journalist in Arkansas.  He reflects on his execution, his victims, reactions of inmates and big servings of fried chicken, which he says are given to all inmates on execution days.
    • Apr 27, 2017
  • Policy group urges opposition to new charter seats in Little Rock

    The Arkansas Public Policy Panel is urging supporters of the Little Rock School District to tell state Board of Education members they oppose applications to be heard this week to dramatically expand the number of charter school seats in the Little Rock School District.
    • Mar 9, 2016

Most Viewed

Most Recent Comments



© 2017 Arkansas Times | 201 East Markham, Suite 200, Little Rock, AR 72201
Powered by Foundation