DOR: R.I. cash collections fell 1.3% fiscal YTD, 14.5% in March

PROVIDENCE – The R.I. Department of Revenue announced Thursday its monthly cash collection decreased 14.5 percent year over year to $316.47 million. The 14.5 percent represents a $53.67 million decrease from March 2016.

The estimates show that the DOR fiscal year-to-date cash collection has decreased 1.3 percent year over year, about $32.25 million.

Yet, R.I. Department of Revenue Director Robert S. Hull was not overly pessimistic. In a statement, he said, “While this is a reversal in the year-on-year trend observed in February, a substantial share of March’s underperformance is driven by the timing of receipts and may be corrected by fiscal year end.”

The most notable decline in March’s revenue was the DOR’s personal income tax collections, which decreased 23.1 percent in March, accounting for a year-over-year difference of $18.81 million. Personal income tax to date for the fiscal year declined 0.5 percent year over year in March, a decrease of $4.21 million.

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The DOR reported the most notable increases in fiscal 2017 year-to-date collections were in departmental receipts and sales and use tax revenues. Departmental receipts increased 6.4 percent, about $17.84 million year to date, despite a nominal decline in March collection year over year (0.2 percent). Sales and use tax revenues increased 1.6 percent, approximately $12.09 million year to date.

  • March business corporation tax revenue declined $16.84 million year over year, a 30.3 percent drop. Business corporation tax revenue has decreased 17.8 percent in the fiscal year to date, which is $18.64 million year over year.
  • Financial institution collection revenue declined 46.8 percent in March year over year, which accounted for a $3.54 million difference. The DOR has collected $2.81 million less from financial institutions so far in the fiscal year than last year, about a 32.3 percent decline.
  • Motor vehicle excise tax revenue fell 59.1 percent year over year in March, a difference of $3.18 million. About $18.88 million less in motor vehicle excise tax has been collected in fiscal 2017 than at the same point in fiscal year 2016.

Chris Bergenheim is the PBN web editor.