FRANKFORT, Ky. — State Budget Director John Chilton reported today that General Fund receipts rose 7.6% in November compared to last year. Total revenues for the month were $1,046.1 million, compared to $972.6 million during November 2018, an increase of $73.5 million. Receipts have now risen 4.4% for the first five months of the fiscal year, and can decrease 1.9% over the final seven months of FY20 and still achieve the current official revenue estimate of $11,462.0 million. Income and property taxes experienced the strongest growth in the month and helped offset declines in natural resources and nontax receipts.
Chilton noted that General Fund revenue continued to increase at an impressive pace in the second quarter as collections for November reinforced gains made in October. “After increasing only 1.1% in the first quarter of the fiscal year, revenues have accelerated in the past two months, increasing an impressive 9.4% when combining October and November receipts. As a group, the income, sales and use, and property taxes increased by $81.4 million over November 2018 levels. In contrast, the natural resources taxes continued to struggle, falling 33% for the month as coal severance revenue came in at an all-time low of $3.6 million. The income taxes in particular showed above-trend growth, climbing a combined 18.5% in November, driven primarily by increases in the corporate income and limited liability entity taxes. The Consensus Forecasting Group will consider the latest revenue and economic conditions when they convene on Dec. 17 to render official budget estimates that will provide the basis for budgeting for the next biennium.”
Among the major accounts:
- Corporation income tax receipts rose 121.5 % to $20.9 million in November. Receipts year-to-date have declined 2.6 %.
- Individual income tax collections grew 14.1% in November on the strength of withholding collections. Through the first five months of FY20, receipts of this tax have increased 4.5%.
- Sales and use tax receipts increased 3.1% in November. Year-to-date, this account has grown 7.1%.
- Property tax collections rose 7.2% for the month and have increased 3.6% year-to-date.
- Cigarette tax receipts fell 19.8% in November and are down 1.8% for the first five months of the fiscal year.
- Coal severance tax receipts declined 43.8% in November and are down 21.2% year-to-date.
- Lottery revenues fell 12.8% for the month but are up 14.5% for the year.
Road Fund receipts for November totaled $123.8 million, a 7.1% decrease from November 2018 levels. Year-to-date Road Fund receipts have increased 0.5%. Based on collections through the first five months, Road Fund receipts can fall 6.6% over the balance of the fiscal year to meet the official FY20 estimate of $1,509.8 million.
Motor fuels tax receipts fell 5.3% in November and have increased 0.5% for the year. Motor vehicle usage tax collections declined 0.8% in November but have grown 3.9% through the first five months of the fiscal year. License and privilege receipts fell 19.1% for the month and have fallen 7.8% for the year.