Posted on: Tuesday, May 29, 2001

6.5% rise in tax revenue projected

Advertiser Staff

The state will collect 6.5 percent more in taxes this year than last, slightly above its previous projection of 6 percent growth, the state Council on Revenues says.

Every percentage point represents about $30 million, so the council's projection means an increase of about $195 million over last year.

The council also reduced its growth projections for the next five years by 0.4 percent, which council chairman Mike Sklarz said was a technical adjustment related to this year's change that does not alter revenues projected for those years.

The council had decided in March to keep its growth forecast at 6 percent because of concerns about the Mainland economy. Tax revenues collected were running 7.8 percent ahead of 2000.

Recent reports show the state collected $2.64 billion in taxes as of April 30, 8.6 percent more than last year.