Indiana revenues have missed the mark seven out of the last nine months, with March collections coming in about $18 million below expectations.
Monthly collections have fallen below expectations five of the last seven months.
Indiana's tax collections were below projections for the first two months of this fiscal year.
State officials say they projected the shortfall because August 2012 had one fewer payroll day.
Budget Agency Director Adam Horst said while the state still has a way to go, the March revenue report is encouraging.