December Total Tax Collections Surpass Estimate by $140.1 Million
Joe Denoyer - January 5, 2023 10:04 am
TOPEKA – Governor Laura Kelly announced that total tax collections for December were $1.1 billion — $140.1 million, or 14.8%, more than the monthly estimate. That is also 21.9%, or $194.6 million, more than December 2021.
“Because of my administration’s work to put the state’s finances back on track, we are able to fully fund education, improve roads and bridges, and work to address mental health issues across the state, all while also providing Kansans immediate tax relief,” Governor Laura Kelly said.
Individual income tax collections were $374.8 million. That is $5.2 million less than the estimate but $19.6 million, or 5.5%, more than the previous December. If it were not for higher-than-normal refunds in December, receipts would have surpassed the estimate by over $5.0 million. Corporate income tax collections were $281.0 million, which is $151.0 million, or 116.2%, more than the estimate.
Retail sales tax collections were $234.0 million for December. That is $14.0 million, or 5.6%, less than the estimate but $9.7 million, or 4.3%, more than December 2021. Compensating use tax collections were $73.3 million and met the $73.0 million estimate for December. Those collections are also $4.1 million, or 5.9%, more than December 2021.
“Collections for the four major tax types all show growth over December 2021,” said Secretary of Revenue Mark Burghart. “The corporate income tax receipts are much higher than expected due in large part to the influence of the recently enacted SALT Parity Act, which, beginning with tax year 2022, allows owners of pass-through entities, such as S corporations and limited liability companies, to elect to have the pass-through entities pay tax on the income flowing through to the owners.”