California tax collections proved better than expected in March, but the state Controller is counseling caution. You have to step back to look at the broader budget picture.
State Controller Betty Yee says the monthly revenue numbers tend to fluctuate. The state is now more than half a billion dollars behind last summer’s budget estimates, but still a bit better than revised predictions from January. And Yee says this month’s tax filing deadline will be crucial.
“Obviously all eyes are on the April receipts, but we are headed towards an inevitable downturn, so I think we don’t put a lot of credence in terms of our month-to-month cash reports," says Yee. "But we’ll be looking to see after the April receipts especially, how closely they’re tracking to projections.”
Yee says April receipts alone make up 17 percent of the state’s annual haul.