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Kansas Tax Collections Miss Estimate by Nearly $45 Million in September

The Kansas Statehouse. (Photo by Stephen Koranda)

Kansas tax collections came in more than $40 million short of estimates in September. That grows the budget deficit for the current fiscal year to around $60 million.
Revenue Secretary Nick Jordan says the sagging agriculture industry, as well as oil and gas sectors, are hurting sales tax receipts. He also blames volatility in the stock market.

"The significant contributors to less-than-expected September receipts were individual estimated payments related to capital gains and the stock market; a continued regional trend of low corporate tax receipts and sales tax receipts,” says Jordan. “Withholding tax receipts, which are an indicator of jobs and income, continues to perform above the previous year."
Democratic Senator Laura Kelly blames tax cuts made in recent years for putting the state on unstable financial footing.

“This is not a flash-in-the-pan. This is a chronic, long-term problem that we’ve had of not meeting our estimates,” says Kelly.

Kelly is concerned the continued shortfalls will mean budget cuts that will impact state services.

Over the last year, Kansas has missed the monthly tax estimates 10 times and beat the projections twice.

KPR's Stephen Koranda reports on the new numbers:

Before the bleak tax revenue numbers came out Monday, the Kansas House Budget Committee chairman sent an email to colleagues trying to put a positive spin on the state’s financial situation. Reporter Sam Zeff has more.  
Sam Zeff is a reporter for KCUR Radio.


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