New York Comptroller Thomas DiNapoli's office recently reported good news about the state's fiscal year revenues and spending, but also predicted that the optimism might be short-lived.
Tax collections from April through January for all governmental funds totaled $55.9 billion, 3.3% above the same period last year, DiNapoli's office reported. This is an additional $1.8 billion.
Tax collections have been outrunning projections made in January. Through the end of January, they are running $538 million ahead of the projections made that month.
"Federal tax actions implemented in January led many employers to move salary and bonus payments for high income individuals to the end of December to avoid federal tax increases," DiNapoli's office said. "Many high income taxpayers also sold assets in December to avoid federal tax increases."
The balance of the state's general fund was $7.1 billion, $1 billion higher than the latest projections made in January. This was due to receipt of $411 million more than anticipated in January. It was also due to spending that was $621 million lower than expected.
However, New York Division of Budget expects higher spending in February and March. The division anticipates general fund spending $286 million more than the enacted budget's initial projections.
The general fund is the major operating fund and accepts all receipts that are not required to be deposited to other funds. All governmental funds includes the general, special revenue, debt service, capital projects, and federal government funds.
