LOS ANGELES — California's August revenues came in $637.8 million higher than the amount anticipated when the 2015-16 budget passed in July, according to the state controller's office.
The state has beat revenue forecasts for more than a year aided by growth in personal income tax receipts, but strong retail sales and use tax revenues provided the jolt to August's numbers, according to Controller Betty Yee's cash report, released Thursday.
For August, retail and sales and use tax exceeded estimates by $127.2 million, or 4.3%, according to Yee's report. Personal income tax again surpassed projections by $39.7 million, or 1%. Corporation taxes, the last of the state's three largest revenue sources, also came in higher than anticipated by $35.7 million, or 28.9%.
Total receipts for the 2016 fiscal year so far are $674.7 million above projections, or 5.0%, according to the controller. For the fiscal year to date, all three major sources of revenue are surpassing expectations.
The August receipts are $1.5 billion higher than a year ago, and year-to-date receipts are $1.9 billion higher. August retail sales and use tax revenues of $3.1 billion surpassed those from a year ago by 36.7%, while personal income tax revenue of $4.2 billion came in 6% higher, and corporation tax revenue of $159.1 million was 26.2% higher.
The state ended the month of August with unused borrowable resources of $29.8 billion, which is 10.1% more than anticipated when the budget was signed. The General Fund, the source of most state spending, may borrow from other funds to even out variability in revenue and disbursement patterns.
The controller's cash report for July had revenues falling short of expectations by $12.3 million or 0.2%, but a few weeks later the Department of Finance reported revenues were up $41 million for July. The controller's report can differ from the DOF's to the extent that cash received by agencies has not yet been reported to the controller.
