Harrisburg, Pennsylvania – Pennsylvania raised $ 3.9 billion in General Fund revenue in May, or $ 1.6 billion, or 65.4%, more than expected, Revenue Secretary Dan Hassell reported today. General Fund collections since the start of the fiscal year total $ 36.6 billion, or $ 2.9 billion, or 8.5 percent, above estimate.
Secretary Hassell noted that personal income tax (PIT) revenue in May was $ 1.9 billion, $ 1.0 billion above estimate. This is a direct result of the fact that the Department of Revenue has extended the deadline for filing personal income tax returns for 2020 and for the final payment of income tax for 2020. The deadline for filing was moved to May 17, 2021 – about a month later than the original deadline – resulting in the deferral of PPI income that was originally expected from April to May.
“In addition to this expected change, the PIT revenues that we received in May went well beyond compensating for the April PIT deficit,” Secretary Hassell said, noting that PIT revenues in April were $ 571.8 million below estimate. “We are also nearly $ 2.9 billion above our estimate for the fiscal year as of today. This is very positive news one month into the current fiscal year.”
Secretary Hassell added that the current outlook on revenue collection is attributable to stronger-than-expected collections in almost all types of taxes. This continues a positive trend of recent months as Pennsylvania’s economy rebounds from the impact of the COVID-19 pandemic.
As a reminder, under Pennsylvania law, the deadline for filing state income tax returns is tied to the federal deadline. The IRS has also extended the federal income tax filing deadline to May 17, 2021.
Below is a full breakdown of revenue collections:
Sales tax revenue totaled $ 1.2 billion for the month of May, $ 211.8 million above estimate. Since the start of the year, sales tax collections total $ 11.6 billion, or $ 741.7 million, or 6.8%, more than expected.
Personal income tax (PIT) revenue in May was $ 1.9 billion, $ 1.0 billion above estimates. This brings PPI recoveries to $ 14.9 billion, or $ 747.7 million, or 5.3 percent, above estimate.
Corporate tax revenue of $ 430.1 million in May was $ 163.7 million higher than estimated. Year-to-date corporate tax collections total $ 5.6 billion, or $ 892.2 million, or 18.9%, above estimate.
Estate tax revenue for the month was $ 136.0 million, $ 53.5 million above estimate, bringing the year-to-date total to $ 1.2 billion , or $ 216.5 million, or 21.1%, above estimate.
Land transfer tax revenue was $ 56.9 million in May, $ 14.8 million above estimate, bringing the year’s total to $ 575.1 million, or $ 95.5 million, or 19.9%, more than expected.
Other General Fund tax revenues, including taxes on cigarettes, malt beverages, alcoholic beverages and games, totaled $ 191.0 million for the month, up $ 24.5 million over estimate and bringing the total to date to $ 1.6 billion, or $ 132.3 million, or 9.1 percent, above estimate.
Non-tax revenue totaled $ 57.7 million for the month, $ 45.6 million above estimate, bringing the year-to-date total to $ 1.1 billion, or 42.8 million dollars, or 4.0%, above estimate.
In addition to the General Fund collections, the Driver’s License Fund received $ 236.2 million for the month, $ 3.1 million below estimate. Year-to-date collections for the fund – which include commonly referred to as taxes on gasoline and diesel, as well as other revenue from permits, fines and fees – total $ 2.6 billion , or $ 17.6 million, or 0.7%, below estimate.
Media contact: Jeffrey Johnson, [email protected]
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