October 14, 2005
FY06 Revenues On Target
-- Treasurer John E. McCormac announced today that New Jersey’s
revenue collections through the first quarter of FY 2006 total $5.84 billion,
which is within 1 percent of projections for the first three months of
the new fiscal year.
Among the major
taxes, Gross Income Tax collections for the first three months total
$1.93 billion, which is $46.475 million above target. The Corporate
Business Tax, at $459.7 million, is running 2.9 percent ahead of estimates.
Sales Tax revenues, which total $1.74 billion, were $25.2 million (-1.4
percent) behind estimates. Total revenues are $35.2 million, or -0.6
percent, under the first quarter target.
For September, collections from the Gross Income Tax and Corporation Business Tax were in line with monthly projections, while Sales Tax revenue dipped $15.7 million below estimates.
bottom line is that our residents have less disposable income for dining
out, shopping and entertainment because of the higher gas prices,”
said McCormac. “And it will only get worse with the projected
rise in home heating costs this winter. So, while overall revenue performance
is in line with projections to date, we expect that the Sales Tax will
fall well below the targets for this fiscal year. We hope that shortages
in our Sales Tax collections will be offset by increases in other revenues.”