FRANKFORT, Ky. (KT) – The state budget director said Tuesday that general fund receipts rose 6.1% in September, bringing revenue to $1,570.8 million, an increase of $90.4 million from a year earlier and the first increase in 13 years. reported.th General Fund receipts exceeded $1 billion in consecutive months.
General revenue up to this fiscal year (FY2014) increased by 6.9%. Based on September results, General Fund revenues could decline by 2.4% for the remainder of the fiscal year ending June 30, 2024, still meeting official estimates.
The consensus forecasting process began in September with preliminary estimates from a group of economists, with final official revenue estimates for fiscal years 2024-2026 expected to be released in December. The funds will be used to develop state spending plans for the next two years.
“September’s new pass-through entity tax (PTET) collection was $146.5 million, which will be retroactive to filings for the 2022 tax year,” said State Budget Director John Hicks. It will be done.” September 15thth was the deadline to file for a pass-through filing extension for the 2022 federal tax year. The spike in Kentucky PTET income in September is likely a tax planning strategy for pass-through entities to pay state taxes to maximize tax savings at the federal level on their 2022 tax returns. ”
Hicks further added, “The $187.4 million in PTET receipts collected since the beginning of the year to meet the federal tax filing deadline will be reduced in fiscal 24 future years due to lower self-assessed taxes and increased state refunds. This is expected to be partially offset over the period of Sales tax revenue continued at a steady pace after three years of double-digit growth, he said, increasing by 6.1%. ”
Road fund receipts also increased significantly last month. In September, it increased by 11.2% due to a 20.2% increase in motor fuel tax. Road fund collections in September were $154.8 million, an increase of 10.2% year-to-date. Based on year-to-date collections, revenue could decline by 8.7% for the remainder of the fiscal year to meet budget estimates.