State projects $198 million budget surplus this year, $259 million revenue decline for 2014
Hartford — The state is projected to have a $198 million budget surplus this year and a $259 million revenue decline for fiscal year 2014.
“These are conservative projections,” said Benjamin Barnes, secretary for the Office of Policy and Management, OPM. “OFA and OPM are in agreement that we should not expect the revenues realized this past month to continue based on the underlying national economy.”
The revenue increased this current year or fiscal year 2013 largely because there was an additional $110 million in personal income tax revenue and $112 million in gift and estate taxes, according to OPM. The increase happened because taxpayers chose to make larger taxable gifts in 2012 for fear that the federal fiscal cliff would raise the gift and estate tax rates, according to the Office of Fiscal Analysis.
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