Report: Only 3 states report rising income tax revenues: Alabama, North Dakota, Utah

[Regis Philbin]

While it's true tax revenues are dropping like a rock everywhere, three states have managed to eek out a small income tax revenue increase---Alabama, North Dakota and Utah. All red flyover states with dim-witted unsophisticated conservatives running the government. States where they don't spend like drunken sailors (no offense to drunken sailors intended). :hat:

http://www.dollarsandsense.org/blog/2009/06/plunging-state-income-tax-revenues.html

Plunging State Income Tax Revenues

by Dollars and Sense

States in Deep Trouble Over Plunging Income Tax Revenues

The Nelson A. Rockefeller Institute of Government has issued a State Revenue Flash Report discussing an across the board enormous drop in personal income tax revenues.

Total personal income tax collections in January-April 2009 were 26 percent, or about $28.8 billion below the level of a year ago in states for which we have data. In April 2009 alone (April being the month when many states receive the bulk of their balance due or final payments), personal income tax receipts fell by 36.5 percent, or $18.2 billion.

Personal income tax receipts in the first four months of calendar year 2009 were greater than in 2008 in only three states—Alabama, North Dakota, and Utah.

In FY 2008, personal income tax revenue made up over 50 percent of total tax collections in six states—Colorado, Connecticut, Massachusetts, New York, Oregon, and Virginia. Personal income tax revenue declined dramatically in all six of these states for the months of January-April of 2009 compared to the same period of 2008. Among all 37 early-reporting states, the largest decline was in Arizona, where collections declined by nearly 55 percent.

[WannaBreatheYou]

Huh, could it possibly be that these three states have less unemployment than some of the other states? What a concept. They're talking about money coming from state income tax. Which means that they have people paying into the income tax through their jobs.

I know I have my best friend in Utah who is holding down two jobs right now. I'm sure her second job has helped the income tax increase in Utah.

[pinky]

Now, Kita, you should know better than to confuse Regis with facts!

[Richard Tafoya]

And Regis also wouldn't understand that the report is about tax collections, not about government spending.

For the period studied, only North Dakota increased significant tax withholding income, pulling in an additional 14.1% over last year. Utah's withholding income increased just 2.9% and Alabama's actually decreased 5.8%.

Where two of the three states netted out their revenue gains was that they were among the only states to decrease tax refunds. While every other state but one increased tax refunds for the period measured, Utah decreased refund payouts by 20.4%, earning them a net revenue gain of 4.4%. Alabama decreased refund payouts by 46.1%, netting out an 11.1% revenue gain.

Only North Dakota had a concurrent increase in withholding income, an increased tax refund and a net gain.