• May 14 2020

Updated FY 2021 Tax Revenue Forecast: $6 Billion Loss

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FY 2021 tax revenues are projected to fall by $6 billion or 19.3 percent from the January 2020 benchmark. Massive layoffs push the unemployment rate to nearly 22 percent in Q4 FY 2020, causing withholding taxes to decline by $1.9 billion. Shutting down economic activities and the loss of personal income will cost the state $2.0 billion in sales tax revenues. Non-withholding income taxes and corporate payments are expected to fall by $967 million and $905 million, respectively.