State tax collections through January — the first 10 months of the state’s fiscal year — were 4.2 percent higher than last year but fell short of projections, largely because of the timing of personal income tax payments, according to state Comptroller Thomas DiNapoli’s January 2014 cash report.
The state’s fiscal year ends March 31. Gov. Andrew Cuomo proposed his 2014-15 budget in January, and lawmakers have until the end of March to adopt a tax and spending plan for the new fiscal year.
“So far tax collections have grown 4.2 percent from a year ago but we still have to meet year-end estimates,” DiNapoli said. “The 2014-15 budget proposal assumes a surplus in the current year, and the strength of receipts in February and March will determine whether a surplus materializes and what the number will be.”
The governor’s Division of the Budget is expected to issue a revised financial plan with updated revenue projections next week.
Personal income tax receipts through the first 10 months of the fiscal year totaled $37.2 billion, 5.3 percent higher than the same time period last year but $486.3 million below the Division of the Budget’s latest projections. DiNapoli said the variance appears to be due to certain withholding collections from bonus payments that were being received in early February rather than late January.
New York state relies heavily on income taxes from bonuses that Wall Street employees receive.
The report also found:
— Consumption and use tax collections totaled $12.8 billion through Jan. 31, an increase of 4.1 percent from the previous year and $28.8 million below updated projections.
— Business tax collections through January were down 5.2 percent over the year, and $90.6 million above the latest projections.
— All Funds tax collections of $58.3 billion through Jan. 31 were $2.4 billion higher than last year, but $413.3 million below updated projections included with the Gov. Andrew Cuomo’s proposed budget. Total tax receipts in January of $9.3 billion were down 2.3 percent from last year.
— All Funds spending of $108.1 billion through Jan. 31 was $58.5 million over updated projections.
— All Funds receipts totaled $114.9 billion through January, $223.6 million below updated projections. The majority of the variance was in taxes ($413.3 million) and miscellaneous receipts ($152 million), offset by federal receipts that were $341.7 million higher than projected).