“We are certainly in a lot better situation than we were in last year,” said Senate Appropriations Chairman Blake Tillery, R-Vidalia.
According to Gov. Brian Kemp’s office, individual income tax collections were up 6.3% in January, sales tax collections rose 8.8% and corporate income taxes climbed 51.2%. The state gets most of its revenue to fund schools, roads, health care and other programs from income and sales taxes.
The income tax numbers were inflated by lower refunds in January compared with January 2020. Budget writers expect much bigger refunds in coming months as the hundreds of thousands of Georgians who received unemployment benefits in 2020 after losing their jobs begin filing their tax returns.
Overall, through the first seven months of fiscal 2021, state collections are up 6.3%, or just under $900 million.