California Revenues Coming in Above Expectations

According to the latest report by State Controller John Chiang, California took in a little more than 7 billion dollars last month – nearly 800 million dollars above expectations. 

Chiang says the state continues to show “strong signs of recovery” and that the higher revenues reflect growing employment, increased consumer spending and a resurgent housing market. 

The major revenue sources were up, including personal income taxes, which were nearly 21 percent higher than the estimates in Governor Jerry Brown’s latest budget.  Corporate income and sales taxes were up as well.  

In less than a year, the state’s cash deficit has shrunk by two-thirds, to just over three billion dollars.   But Chiang says there are still nagging questions about the state’s need to repay years of accumulated debt.