May 07, 2020

Anna Murray 

State tax collections in the US reportedly tumbled in April compared to last April. According to state legislators and government officers, the April revenue shortfall was attributable to several factors, including adjustments to tax payment deadlines in several categories, the extension of the personal income tax filing and payment deadline, and the impact on US economy due to precaution measures to deter the spread of COVID-19 from keeping social distancing to city lockdowns.

Commissioner Geoffrey Snyder of Massachusetts Department of Revenue announced May 5 that April collections totaled US$1.981 billion, down 54%, or US$ 2.34 billion, compared to April 2019. Revenue Commissioner Snyder said some of the declines were probably caused by the state’s decision to extend the April 15 income tax filing deadline to July 15.

The state's monthly revenue report was released on May 6 that indicated Georgia State revenues showing a 35.9% drop equivalent to US$1 billion loss in total revenues from April 2019.

In addition, Kentucky’s General Fund tax receipts fell nearly US$433 million below 2019 collections, a 33.6% drop attributed as the Coronavirus outbreak stalled much of Kentucky’s economy. Florida sales tax collections also fell dramatically, as disclosed in its state revenue report; the April tax collections came in US$773 million short from the total estimated.US$3.1 billion.

Photo:Webshot.