|Budget Issue:||Updates concerning April 2014 California tax collections.|
|Program:||April Revenue Tracker|
|Finding or Recommendation:||This note—updated regularly during the month of April 2014—provided up-to-date information on California tax collections during that key month.|
(Final Update: Sunday, May 11, 12 pm PT.)
Based on preliminary monthly agency cash tallies from the state's tax agencies--the Franchise Tax Board (FTB), the Employment Development Department (EDD), and the State Board of Equalization--this note provides information on California's General Fund income and sales tax collections during the key month of April 2014.
Key Points. The administration's most recent revenue projections were released in January, as part of the Governor's 2014-15 budget proposal. For the state's "Big Three" General Fund taxes--the personal income tax (PIT), the corporation tax (CT), and the sales tax--April 2014 collections were a combined $529 million above the most recent projections for that month. For the 2013-14 fiscal year to date, the combined collections of the Big Three taxes are running $1.827 billion above the most recent projections through the end of April.
The administration is expected to update its revenue projections with release of the Governor's May Revision on Tuesday, May 13, 2014. Note that under the state's complex revenue accrual policies, some current year revenue collections or refunds can be expected to be "accrued" (attributed) to prior fiscal years.
The administration's most recent revenue forecast was released in January 2014 and increased revenue estimates from those assumed in the 2013-14 Budget Act, which was passed in June 2013. Based on the above totals, PIT collections are running $1.429 billion (2.7 percent) above the administration's most recent fiscal year forecast as of the end of April.
Based on the above totals, CT collections are running $586 million (10.8 percent) above the administration's most recent fiscal year forecast as of the end of April.
April sales tax collections were reported by the Board of Equalization to be $2.139 billion, or $50 million below the administration's most recently monthly projections for April 2014. For the 2013-14 fiscal year to date, sales tax collections are running $188 million (1.0 percent) below the most recent administration projections, which were last updated in January 2014.