As the country continues working through the pandemic and more people return to work as businesses ramp up operations, state tax collections have benefitted.
The Indiana State Budget Agency reported general fund revenues for April totaled $2,230.4 million, which is $92.9 million or 4.3% above state estimates for the month and $996.2 million or 80.7% above revenue in April 2020.
The state said monthly collections from sales tax, individual income tax, corporate adjusted gross income tax, and gaming taxes came in above monthly estimates and prior year actuals.
Year-over-year comparisons from April to June were impacted by economic developments and federal policy actions associated with the pandemic since 2020 as well as the different tax payment schedules in 2020 and 2021 relative to the alignment of Indiana’s tax filing and payment due dates with the federal deferral, the state said. Overall, significant fluctuations are expected and large differences relative to prior year actuals are likely as the rapidly changing economic outlook and recent federal policy actions will most likely impact monthly collections.
Sales tax collections totaled $872.3 million for April, which is $42.1 million or 5.1% above the monthly estimate and $265.9 million or 43.8% above revenue in April 2020.
Monthly collections attributable to sales tax excluding gasoline use tax were $46.2 million above the monthly estimate and $262.1 million above prior year actuals. The April performance, which mostly reflects March economic activity, shows a considerable uptick in growth relative to prior year actuals (44.1%) as April 2020 collections saw a particularly negative impact from the onset of the pandemic.
Gasoline use tax monthly collections came $4.1 million below the monthly estimate but $3.8 million above prior year actuals. Year-over-year comparisons are impacted by the onset of the pandemic in 2020, the state said.
Individual income tax collections totaled $940.3 million for April, which is $17.4 million or 1.9% above the monthly estimate and $463.1 million or 97.1% above revenue in April 2020.
Monthly collections related to tax withholdings came in $5.9 million below the monthly estimate and $165.1 million above prior year actuals. Other monthly individual income tax collections, net of refunds, came in $23.2 million above the monthly estimate and $301.6 million above prior year actuals.
Other report highlights:
- Corporate tax collections totaled $286.7 million for April, which is $32.7 million or 12.9% above the monthly estimate.
- Collections attributable to corporate adjusted gross income tax came in $46.7 million above the monthly estimate.
- Riverboat wagering collections totaled $39.4 million for April, which is $8.1 million or 25.8% above the monthly estimate.
- Racino wagering collections totaled $15.0 million for April, which is $4.5 million or 43.3% above the monthly estimate.
