Revenues are affected by economic changes and changes in federal and State policies. Tax base is a measure of the State’s ability to generate revenue. A decreasing tax base may force spending reductions, increased taxes, or both. Receipts are revenues that have been recorded on a cash basis.
See Appendix 3 for a breakdown of State receipts by major source for the past five years.
Total State Receipts Have Increased Over the Past Five Years
- From 2012 to 2016:
- total receipts increased 15.2 percent.
- tax receipts increased 16.1 percent.
- federal receipts increased 15.1 percent. Funding is again increasing with:
- disaster assistance for Superstorm Sandy and Hurricane Irene; and
- Medicaid funding under the Affordable Care Act.
Personal Income Tax and Consumer Tax Receipts Have Increased Over the Past Five Years
- Personal income tax and consumer (consumption and use) taxes:
- accounted for 41.0 percent of 2016 receipts; and
- have increased 17.7 percent since 2012.
- In 2016, personal income tax receipts—the State’s largest tax revenue source—increased 7.7 percent over the previous year.