Missouri posts record revenues during 2021 budget year; Arkansas ends fiscal year with nearly $1 billion surplus
JEFFERSON CITY, Mo. (AP) - Missouri government posted a record year for revenue collections during its recently concluded budget year, thanks partly to a temporary tax change made because of the coronavirus pandemic.
Figures released Friday by the state Office of Administration show Missouri topped $11.2 billion in net general revenues during its 2021 fiscal year that ended Wednesday. That was up more than 25% over last year and well more than the previous high of nearly $9.6 billion in the 2019 fiscal year.
Missouri’s budget runs from July 1 through June 30 each year.
Because of economic hardships caused by coronavirus shutdowns, Missouri delayed its 2020 due date for income taxes from April 15 to July 15 — pushing some tax payments into the 2021 budget year. That contributed to a decline in 2020 revenues and added to the rise in 2021 revenues.
Individual income taxes, which comprise the largest share of Missouri’s revenue, were up more than 28% in 2021. Sales tax collections were up 6.7%.
LITTLE ROCK, Ark. (AP) - Arkansas ended the fiscal year with a surplus of nearly $1 billion, more than double the state’s previous record, finance officials said Friday.
The Department of Finance and Administration said the state ended the fiscal year on June 30 with a surplus of $945.7 million. The state’s net available revenue for the fiscal year totaled more than $6.8 billion.
The state’s previous record was the $409.3 million surplus accumulated in the 2007 fiscal year, the department said. Gov. Asa Hutchinson said this year’s surplus allowed Arkansas to grow its reserves to more than $1.2 billion and add to its Medicaid trust fund.
The Republican governor noted that the state’s individual income tax collections increased over the previous year and beat the state forecast despite a tax cut that took effect this year. Hutchinson has said he plans to call a special session to take up additional tax cuts this fall.
The state’s sales and corporate income tax collections also came in above the previous year and state forecasts.
“This showcases the fact that a growing economy along with conservative management of our resources allows us to fund education at a high level and other state services and to cut taxes at the same time,” Hutchinson said in a statement.
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