Tax revenues continue to outpace Minnesota’s record-setting budget surplus
On Thursday, the Minnesota Management and Budget (MMB) released the numbers for January revenue collections. And according to the new data, tax collections were $649 million higher than was predicted in the November forecast.
According to MMB, year-to-date revenue collections are $1.482 billion higher than the November forecast. However, a significant portion of that surplus is due to shifts in the timing of tax payments. These funds will have to be paid back to businesses and individuals, which means that actual tax revenues will be lower.
MMB estimates that $1.2 billion of total tax revenues are due to this tax shifting. So while that greatly reduces the size of the extra revenue, it still means that Minnesota is collecting more money beyond the already predicted $7.746 billion surplus.
Assuming tax collections in the next couple of months keep up with estimates, Minnesota will still have about $300 million on top of the $7.7 billion forecast predicted last November.
Certainly, the February forecast will be able to tell us whether there have been any significant changes since the last forecast. But as of right now, the fact remains that Minnesota’s tax revenues continue to outpace what is already a record-setting budget surplus.
Take Action – Give the Surplus Back to Minnesotans
The biggest question of the 2022 legislative session is what to do with the state’s record-breaking $7.7 billion budget surplus.
Governor Walz already has a long wish list to spend it on more government programs.
We say GIVE IT BACK!
The last thing our government needs is more money to spend on failed ideas.