Today’s monthly report from the state’s Economic and Revenue Forecast Council (ERFC) on general fund revenue collections once again brought good news.

For the sales tax, the use tax, the business and occupation tax, the public utility tax, the tobacco products tax, and penalties and interest (collectively the Revenue Act receipts), this report covers payments received between February 11 and March 10, which generally relate to transactions that occurred in the month of January.  

For liquor taxes, cigarette tax, property tax, real estate excise tax, unclaimed property and other sources, the report covers payments received between February 1 and February 28.

The total amount received was $1,634.3 million. This was $170.9 million (11.7%) more than the amount expected under the forecast that ERFC adopted on November 18^th. Revenue Act taxes exceeded forecast by $149.0 million (11.7%). Here is a chart showing seasonally adjusted Revenue Act receipts since 2004.

Non-Revenue Act taxes exceeded forecast by $21.7 million (12.0%). Within the latter grouping, the real estate excise tax (REET) exceeded forecast by $16.9 million (28.5%). Regarding REET, ERFC notes:

This month once again showed a large surplus in real estate excise tax collections… Sales of large commercial property (property valued at $10 million or more) decreased to $166 million from last month’s revised total of $792 million. Seasonally adjusted taxable activity decreased only slightly from last month’s strong level, indicating the decrease in commercial sales was mostly made up for by increased residential sales.

This is the fourth collections report since the ERFC adopted its current forecast, on November 18^th. Cumulatively revenues are now $763.5 million (9.5%) above that forecast. Tomorrow morning EFRC will meet to adopt a revised forecast, which will be used by legislators as they write the 2021–23 state budget.

The collections report is available here.