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Indiana tax collections still ahead this fiscal year despite missing the mark in March

By Brandon Smith

Posted April 17, 2024

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Indiana tax revenues are about 1 percent above the budget plan through three quarters of the 2024 fiscal year. (Brandon Smith/IPB News)

Indiana tax revenues are ahead of where the state budget needs them to be heading into the final three months of the budget cycle — despite collections in March that failed to meet expectations.

Through nine months of the current fiscal year, Indiana’s total tax collections are about $160 million ahead of where the state budget expected them to be. That’s about 1 percent better than planned.

Individual income taxes are where Indiana has been strongest this year. After March delivered another month of collections that exceeded expectations, the state has now brought in nearly $400 million more than projected by the latest revenue forecast.

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Sales taxes continue to struggle, however, missing the mark in March for the fourth consecutive month. With three months to go in the fiscal year, the state is about $61 million below where it expected to be in that category — though that’s less than 1 percent off the mark.

Brandon is our Statehouse bureau chief. Contact him at bsmith@ipbs.org or follow him on Twitter at @brandonjsmith5.