State tax collections fall $281 million short of projections

I guess now we know why Gov. Scott Walker was so nervous about the roughly $25 million casino payment the Potawatomi Tribe withheld this week.

State tax collections fell short of expectations by $281 million last year, providing potential difficulties in the future for the state budget and immediate fodder for this fall’s tight governor’s race.

If the state doesn’t make up this missing money by June 30 of 2015 — either through higher-than-expected tax revenue or lower-than-expected spending going forward — the state budget would be $115 million in the red by next summer. These figures do not include a $25 million payment that the Potawatomi tribe is withholding from the state because of a casino dispute.

For now, the state’s rainy day fund has enough money — $280 million — to cover the lagging taxes, though Gov. Scott Walker and lawmakers would have to pass a law to use it for that purpose.

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1 thought on “State tax collections fall $281 million short of projections

  1. Followed this in the Cap Times article, http://host.madison.com/ct/news/local/writers/jessie-opoien/mark-harris-state-democrats-criticize-irresponsible-budgeting-after-revenue-shortfall/article_332e3837-9f39-5c1d-b0a3-ba775a52a8ac.html and a thought I had is when it comes to “making up,” the shortfall (just as we should be holding Walker and the Republican leggies for “making up,” purposely creating this shortfall with a $2B cut in taxes for the wealthy) another option that has not been mentioned directly in the context of making up a shortfall will be this seemingly purposefully made excuse and justification for Walker to immediately commence (if re-elected) with his long desired fire sale of State assets to the best of his corporate donor friends. Cutting schools, medical assistance and other social safety nets will not be the only, “tool,” Walker will pull and then he’ll attempt to play the angel for saving us from his manufactured budget revenue shortfall crisis. Presidential worthy slight of hand and propaganda.

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