Home » NEWS » State tax collections tumble

State tax collections tumble

JACKSON — Gov. Haley Barbour is urging state agencies to closely monitor expenditures as general fund collections fell $26.2 million, or 11.27 percent, below expectations for July 2009.

“State tax collections in July were much lower than anticipated,” Barbour said. “We cannot ignore the fact that revenues continue to fall below our expectations. State agencies must spend tax dollars responsibly and keep in mind that cuts may be needed in the current fiscal year.”

Revenue for the month fell $56 million, or 21 percent, compared with collections for July 2008. In fiscal year 2009, falling collections caused $200 million to be cut from the $5.6 billion state support budget.

After a lengthy debate, the Legislature approved a $6-billion state support budget for the current FY 2010, which began July 1. The budget includes $523.2 million from the American Recovery and Reinvestment Act. Barbour has warned that revenues through FY 2012 may fall below expectations.

“The effects of the current recession will continue to impact the state budget in the months and years to come,” Barbour said. “Mississippi faces serious budget problems. State agencies will have to live within their means while we keep a balanced, conservative budget in tact.”


… we’d like to ask for your support. More people are reading the Mississippi Business Journal than ever before, but advertising revenues for all conventional media are falling fast. Unlike many, we do not use a pay wall, because we want to continue providing Mississippi’s most comprehensive business news each and every day. But that takes time, money and hard work. We do it because it is important to us … and equally important to you, if you value the flow of trustworthy news and information which have always kept America strong and free for more than 200 years.

If those who read our content will help fund it, we can continue to bring you the very best in news and information. Please consider joining us as a valued member, or if you prefer, make a one-time contribution.

Click for more info

About MBJ Newswires

Leave a Reply