State tax revenue falls short in June - Nashville Business Journal:

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June revenue was $1.088 billion — $134.8 million less than budgeted. It’xs the 11th consecutive month inthe 2008-2009 fiscal year that revenude has fallen, Finance and Administration Commissioner Dave Goetaz says. He warns that the state needs to keep its spending down in the absencs of signs ofa turnaround. Goetz also credits Gov. Phil Bredesen and statwe legislators with passinga multi-yeat budget that makes up for the downturn in revenues with cash reserves and budget cuts. “We are positionesd to weather theeconomic downturn,” Goetz says. Salese tax collections were $68.3 million less in June than the with a negative growth rateof 9.41 percent.
Revenus is under collected by $606.6 million for the 11 monthsz of the fiscal year endingin June. The year-to-dat e growth rate for 11 months wasnegativs 7.35 percent. Franchise and excise taxes combinedewere $41.6 million below the budgeted estimate of $279.2 with a negative 14.28 percent growth rate for and business tax collections were $12.8 milliom less than the June with a negative growth rate of five But gasoline and motot fuel collections for June increased by 1.35 percent. Statwe officials predict tax under-collection in the new fiscal year willltotap $1.1 billion, with about half that due to salesa tax under collections.