State Tax and Economic Review
The State Tax and Economic Review is the preeminent source of data and analysis on state tax collections. We regularly collect data and information from all 50 states, use this information to adjust national and state data from the US Census Bureau, and then provide the most timely, accurate, and in-depth look at how states are faring. We also examine the economic factors driving state tax collections based on data from US federal agencies like the Bureau of Economic Analysis, Bureau of Labor Statistics, and Federal Housing Finance Agency.
CONTACT: Lucy Dadayan, senior research associate, Urban Institute.
Another Stellar Quarter of State Revenue Growth, But the Pace Is Slowing Down
Total state tax revenue was slightly more than $1 trillion in fiscal year 2018, a gain of 7.8 percent over 2017. But that revenue growth comes with a warning: much came from the timing of tax payments in response to the Tax Cuts and Jobs Act and could fade away. State officials would be wise to view recent revenue increases as a one-time windfall and anticipate slower revenue growth in the medium term.
State Tax Revenues Soar in the First Quarter of 2018
Total state tax revenue from all sources showed strong growth in the final quarter of 2017 and the first quarter of 2018. The largest increases were in individual income tax revenues. Economic factors driving state revenue were all positive in the first quarter of 2018. However, large fiscal uncertainties lie ahead in response to federal tax changes, the Wayfair decision, and state responses to both.