By GARRY RAYNO, InDepthNH.org
CONCORD — At the halfway point of the 2023 fiscal year, state revenues are about $200 million ahead of estimates and $40 million more than a year ago.
December revenues were $59.8 million more than budget writers estimated needed to produce a balanced budget, led by old standbys, business, hospitality and real estate transfer taxes and lottery transfers record setting jackpots and sports betting.
December is also a fairly large month for business tax collections, and last month’s revenues totaled $193.3 million, a surplus of $36.6 million and $5 million more than a year ago.
According to the Department of Revenue Administration, “the largest contributor to the increased Business Tax revenue is estimate payments being up 1 percent compared to the same month last year.”
For the first six months of the 2023 fiscal year, businesses taxes total $515.1 million, which is $13.3 million more than a year ago, and $114.9 million more than estimates.
For the month, the rooms and meals tax produced $22 million, which is $5.2 million more than estimates and $1.3 million more than a year ago.
According to the DRA the revenue reflects a 6.1 percent increase in restaurant activity and 11.1 percent increase for hotels.
For the first half of the fiscal year, the rooms and meals tax produced $175.8 million or $800,000 more than last fiscal year and $41 million more than budget writers’ estimates.
The real estate market may be slowing down, but revenues from sales continue to produce more money than anticipated.
For December, the levy produced $20.6 million, which is $3.6 million above estimates, but $500,000 less than December a year ago.
According to the DRA real estate sales were down 30 percent over a year ago and values showed a 3.9 percent decrease.
For the first half of the fiscal year, the real estate transfer tax raised $132.6 million, which is $6.8 million more than a year ago, and $27.6 million more than estimates.
With several large lottery jackpots increasing sales, along with sports betting, the Lottery Commission transferred $18.2 million to the state for public education, which is $10.9 million over estimates and $6.7 million more than a year ago.
For the fiscal year to date, lottery transfers total $77.2 million, which is $20.9 million more than a year ago, and $21.4 million more than estimates.
Another large surplus for the month is the other category of small taxes and fees, and interest payments. The monthly total was $11.8 million, which is $7.5 million more than a year ago and $5.5 million more than estimates. The DRA said most of the surplus is from interest income on unrestricted funds like the billions of dollars in federal COVID, infrastructure and other money that state has received.
The interest and dividends, insurance, court fines and fees, and securities revenues were all slightly ahead of schedule for December, while the tobacco and communications taxes, and liquor commission transfers were below estimates for the month.
The Highway Fund comprised largely of the gas tax and vehicle registrations collected a little more than estimates for the first six months of the 2023 fiscal year, at $126.6 million, which is $100,000 ahead of estimates for this fiscal year, but $1.6 million less than a year ago.
The Fish and Game Fund received $7 million for the first half of the fiscal year, which is $300,000 more than estimates, and exactly the same as a year ago.
Garry Rayno may be reached at garry.rayno@yahoo.com.