State revenue up in August
Minnesota state revenues were 8.5 percent higher last month than expected.
The $113 million jump from what was forecast last February, continuing a trend seen most of this year, came thanks to the state’s three major taxes coming in higher: individual income tax, sales tax and corporate tax
Minnesota Management and Budget reported on Septmber 10 that each produced higher returns in the mid-$30 million range.
The state pulled in more than $1.4 billion of revenue in August.
State finance officials warned that the corporate tax increase was due to one-time payments and likely will not be repeated.
However, the overall trend has been that the state is getting more money than expected. That could produce a new budget surplus when the next major report comes out in late November or early December.
Legislators earlier this year left money unspent, and a new surplus would add to the discussion about how to spend it.
An unscientific state Senate survey taken at the State Fair indicated voters are divided about what to do with any such surplus. The largest segment, 26 percent, preferred spending on infrastructure such as roads.
Another 18 percent suggested saving the surplus to cover future shortfalls, while 17 percent suggested increasing education spending.