Year-to-date collections still slightly above estimate
OKLAHOMA CITY — General Revenue Fund collections in January totaled $597.5 million, which is $113.2 million, or 15.9%, below the monthly estimate. This is $112.2 million, or 15.8%, below collections in January 2020. Total GRF collections through the first seven months of fiscal year 2021 are $3.9 billion, which is $9.2 million, or 0.2%, above the estimate and $77.0 million, or 2.0%, above prior year collections for the same period.
January collections marked the first month this fiscal year that came in below estimate. Collections were especially weak in income and oil production taxes, which accounted for $85.8 million of the $113.2 million short of the January estimate. After this month, it is likely collections will begin to fall below year-to-date estimates for the remainder of the fiscal year. However, General Revenue Fund appropriations to agencies are still not expected to be impacted.
“While it's promising to see year-to-date collections remain above estimates, we will continue to be fiscally conservative as the state perseveres through the pandemic,” said OMES Director Steven Harpe. “We will know more about collection projections after the board meeting next week.”
The Board of Equalization meets on Feb. 16 to determine its final revenue projections for fiscal year 2021. The board will also certify revenue estimates for fiscal year 2022.
Major tax categories in January contributed the following amounts to the GRF:
- Total income tax collections of $286.2 million were $47.4 million, or 14.2%, below the estimate and $54.5 million, or 16.0%, below the prior year.
Individual income tax collections of $280.1 million were $42.7 million, or 13.2%, below the estimate and $18.2 million, or 6.1%, below the prior year.
Corporate income tax collections of $6.0 million were $4.7 million, or 44.0%, below the estimate and $36.3 million, or 85.7%, below the prior year.
- Sales tax collections of $182.1 million were $13.1 million, or 6.7%, below the estimate and $0.8 million, or 0.4%, below the prior year.
- Gross production tax collections of $20.6 million were $36.8 million, or 64.1%, below the estimate and $46.8 million, or 69.4%, below the prior year.
Natural Gas collections of $20.6 million were $1.6 million, or 8.4%, above the estimate and $158,000, or 0.8%, below the prior year.
Oil collections were zero and will not be a major contributor to the General Revenue Fund until the first $150 million of oil collections to other receiving funds is met.
- Motor vehicle tax collections of $2.9 million were $0.9 million, or 49.6%, above the estimate and $0.1 million, or 1.9%, below the prior year.
- Other revenue collections of $105.8 million were $16.8 million, or 13.7%, below the estimate and $10.1 million, or 8.7%, below the prior year.
As state government’s main operating fund, the GRF is the key indicator of state government’s fiscal status and the predominant funding source for the annual appropriated state budget. GRF collections are revenues that remain for the appropriated state budget after rebates, refunds, other mandatory apportionments and after sales and use taxes are remitted back to municipalities. In contrast, gross collections, reported by the State Treasurer, are all revenues remitted to the Oklahoma Tax Commission.
Revenue tables can be viewed on the OMES website: https://oklahoma.gov/omes/media/financial-data-tables/2021/january-2021-financial-data-tables.html.
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