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Pennsylvania's General Fund Revenue Exceeds Estimates
HARRISBURG, Pa. -- Pennsylvania collected $2.1 billion in general fund revenue in June, $180.5 million or 9.2% more than anticipated. Fiscal year 2003-04 general fund collections totaled $22.8 billion, which was $636.9 million or 2.9% above estimate, reports state Secretary of Revenue Gregory C. Fajt. "Last year at this time, Pennsylvania's revenue collections were nearly $500 million below estimate," he says. "This year they are $636.9 million over estimate. That's good news for Pennsylvania's taxpayers and a positive indication for the coming year."Fajt emphasizes the need to continue a cautious, responsible approach to both budgeting and spending during the 2004-05 fiscal year. "Nearly 60% of the state's $636.9 million surplus came from corporate taxes and escheats," he notes. "It is unlikely that corporate revenues will continue to grow at such a high rate in the coming year. And the increased escheat collections were primarily a result of legislation that required de-mutualized insurance companies to immediately transfer unclaimed stock to the commonwealth."The increased escheat collections were a one-time occurrence that will not recur in future years, he adds. Also, he says Pennsylvania will need to cope with rising medical assistance costs and must replace $377 million in one-time federal funding available to help balance the 2004-05 budget.Sales tax receipts totaled $659.8 million for June, which was $1.2 million below estimate. Sales Tax collections for the fiscal year totaled $7.7 billion, which was $28 million above estimate.Personal income tax revenue in June was $702.4 million, or $18 million above estimate. This brought fiscal year personal income tax collections to $7.7 billion, which was $117.8 million above estimate.June corporation tax revenue of $528.7 million was $109.9 million above estimate. Fiscal year corporation tax collections totaled $4.4 billion, which was $252.4 million above estimate.Other general fund revenue figures for the month included $64 million in inheritance tax, which was $8.7 million above estimate, bringing the fiscal year total to $747.6 million, or $43.3 million above estimate.Realty transfer tax was $41.7 million for June, bringing the total to $400.6 million for the fiscal year, or $25.9 million more than anticipated.Other general fund revenue including the cigarette, malt beverage and liquor tax totaled $140.3 million for the month, $35.3 million above estimate, bringing the fiscal year total to $1.9 billion, which was $169.5 million above estimate.In addition to the general fund collections, the motor license fund received $120.3 million for the month, $2.1 million below estimate. Fiscal year collections for the fund totaled $2.1 billion, which was $59.3 million above estimates."