A new report shows the state of Wisconsin collected $319 million more in general fund taxes than previously expected for the 2020-21 fiscal year, which ended June 30. A memo released September 2 by the Legislative Fiscal Bureau (LFB), a nonpartisan government agency that serves the Wisconsin Legislature, summarizes preliminary tax data from the Department of Revenue (DOR).
According to DOR, the state collected $19.6 billion in general fund taxes, which include the state’s individual income tax, corporate income tax, sales tax, and excise taxes on tobacco products and alcohol. Actual collections were about 1.7 percent above the state’s previous estimate for the year, and 11.6 percent higher than the previous fiscal year. The LFB memo predicts that about $967 million in surplus revenues will be deposited into the state’s budget stabilization or “rainy day” fund.
Final general fund tax data, along with departmental revenues and expenditures for the 2020-21 fiscal year, will be released in October with the state’s Annual Fiscal Report compiled by the Department of Administration.
State revenue estimates received significant revisions earlier this year. As the Legislature was working to assemble a state budget for the 2021-23 fiscal biennium, the LFB released a memo projecting that by June 30, 2023, state tax collections would be $4.4 billion more than previously estimated.