March's state revenue beats estimates by more than $6.7m
CONCORD — Although business taxes were about 3 percent below estimates for March, overall revenues were slightly ahead of what budget writers believe will lead to a balanced budget at the end of next fiscal year.
The state took in $621.1 million in March, $6.7 million more than estimates. Year to date the state has taken in $1.68 billion in revenue, which is $25.5 million more than estimates and $18.5 million more than last year at this time.
The two-year budget plan projects a $26 million surplus for the 2014 fiscal year to achieve a balanced budget at the end of the biennium June 30, 2015.
Department of Administrative Service Commissioner Linda Hodgdon said while the state is on track, several levies need careful watching including business taxes and liquor revenue, which was $1.1 million below estimates for the month at $9.3 million due to construction at the Hooksett rest area stores on Interstate 93.
“There is talk about a slow progressive recovery and that is what I think we are seeing,” Hodgdon said. “Let’s see what happens in April.”
The state collects a significant portion of its business taxes in March and April.
While business taxes produced $101.3 million for the month, or $2.8 million less than estimates year to date, they have produced $366.2 million or $4.3 million more than anticipated.
The loss in business taxes was more than made up in insurance premium taxes, which were $7.6 million more than estimates for March at $79 million.
Hodgdon said she needs to hear more from the Insurance Department to know where the additional money was generated.
March revenues figures include the statewide education property tax, which is $363.6 million of the $621.1 million total.