NASHVILLE – State revenue collections for August reflect growth of just over four percent over collections a year ago. Finance and Administration Commissioner Dave Goetz announced today that overall August revenues were $768.6 million, which is 4.15% over August 2005 collections.
“Tax collections remain strong in the state, reinforcing the healthy business climate we’ve developed,” Goetz said. “The state’s wise investments in education, jobs and health care continue to bolster business and consumer confidence, clearly indicated in business creation and expansion – as well as consumer spending.”
On an accrual basis, August is the first month in the 2006-2007 fiscal year and collections during August reflect spending that occurred n July.
August collections were $18.5 million less than the budgeted estimate. The general fund was under collected by $18.7 million and the four other funds were over collected by $200,000.
Sales tax collections were $16.2 million less than the estimate for August. The August growth rate was 4.86%.
Franchise and excise taxes were $7.7 million below the budgeted estimate of $35.8 million.
Gasoline and motor fuel collections increased by 3.52% and were $1.9 million below the budgeted estimate of $73.1 million.
Inheritance taxes were under collected by $2.0 million for the month. All other taxes were over collected by a net $9.3 million.The budgeted revenue estimates are based on the State Funding Board’s consensus recommendation adopted by the second session of the 104th General Assembly in May of 2006.