|FOR IMMEDIATE RELEASE
WEDNESDAY, DECEMBER 10, 2008
CONTACT: LOLA POTTER
NASHVILLE, Tenn. - Overall November revenue collections were $711.9 million, or 13.16 % below November 2007 collections.
"November is the fourth consecutive month this fiscal year in which sales taxes and corporate income taxes have experienced negative growth rates," Finance and Administration Commissioner Dave Goetz said. "We are experiencing an historic revenue shortfall, but we will continue to keep the state's budget in balance, as constitutionally required, during this national economic recession."
On an accrual basis, November is the fourth month in the 2008-2009 fiscal year.
November collections were $106.3 million less than the budgeted estimate. The general fund was under collected by $105.4 million and the four other funds were under collected by $900,000.
Sales tax collections were $53.6 million less than the estimate for November. The November growth rate was negative 7.64%.
Franchise and excise taxes combined were $40.0 million below the budgeted estimate of $60.5 million.
Gasoline and motor fuel collections increased by 6.0% and they were $2.6 million above the budgeted estimate of $74.1 million.
Tobacco tax collections were $3.7 million below the budgeted estimate of $28.9 million.
Inheritance taxes were under collected by $3.7 million.
Year-to date collections for four months were $324.1 million less than the budgeted estimate. The general fund was under collected by $305.6 million and the four other funds were under collected by $18.5 million.
The budgeted revenue estimates for 2008-2009 are based on the State Funding Board ’s consensus recommendation adopted by the second session of the 105th General Assembly in May of 2008.