February Total Tax Collections Outperform Estimate by $19.8 million
Governor Laura Kelly Calls for Equitable Distribution of Federal Aid
TOPEKA - Kansas’ total tax collections for February performed better than the estimate and better than the same month of Fiscal Year 2020. Total tax collections for the month were $455.9 million. That is $19.8 million, or 4.5%, more than the estimate and $7.6 million, or 1.7%, better than last February.
“Though tax receipt numbers continue to look encouraging, we must maintain fiscally-responsible, prudent practices as the economic impacts of the pandemic continue to take shape,” Governor Kelly said.
To assist states in COVID-19 recover efforts, over the weekend, the U.S. House of Representatives passed a stimulus bill that will provide $1,400 in direct payments to Kansans, increase the child tax credit, financial relief for schools and local governments, and further the administration of COVID-19 vaccinations.
The new proposal allocates aid based on a state’s unemployed population rather than its actual population. Governor Kelly was one of 22 governors who signed on to a letter opposing the move. “I urge Congress to reconsider the current bill’s approach and distribute aid to states equitably, based on population,” Governor Kelly said. “Receiving our fair share of federal support will continue to be key to protecting Kansans’ health and safety, keeping businesses open, and getting our kids back in school as quickly as possible.”
Individual income tax collections were $193.7 million. That is up 7.6%, or $13.7 million, for the month. Those collections are $22.3 million, or 13.0%, more than the same month of last fiscal year. Corporate income tax collections were up $3.2 million, or 63.5%, for the month with a collection of $8.2 million. That is $1.0 million, or 14.3%, more than February of Fiscal Year 2020.
The state collected $4.3 million, or 2.4%, more than the estimate in retail sales taxes with $179.3 million collected. That is a 0.8%, or $1.4 million, increase from the previous February. Compensating use tax collections were down $3.3 million, or 7.9%, for the month with $38.7 million collected. Those collections are $215,168, or 0.6%, less than last February. The last time the state missed its compensating use tax estimate was August 2019.Please find the revenue numbers here.