HARRISBURG, PA — Pennsylvania’s General Fund revenue outperformed expectations in January, bringing in $3.9 billion and finishing $178.2 million, or 4.7 percent, above projections, according to figures released by the state Department of Revenue.
Fiscal year-to-date General Fund collections now stand at $25.5 billion, which is $416.8 million, or 1.7 percent, above estimate more than halfway through the fiscal year.
“January was another strong month for revenue collections and we’re seeing positive trends in some of our major revenue sources,” said Pat Browne, the state’s revenue secretary. “Our goal is typically to be within 2 percent of our projections, which mean our overall collections are right on target more than halfway through the current fiscal year.”
State budget officials said the revenue performance reflects broader fiscal stability under Governor Josh Shapiro’s administration, citing recent debt refinancing that is expected to save taxpayers hundreds of millions of dollars.
“Not only have revenue collections been strong since Governor Shapiro took office, but we’re also seeing the Governor’s commitment to sound fiscal management paying off in other ways,” said Zachary Reber, referencing a recent bond issuance and refinancing that will save Pennsylvania taxpayers more than $205 million. “Thanks to the work we have done to create a reliable revenue forecast and budget responsibly, we have more funding available for essential programs that Pennsylvanians rely on to educate our kids, keep our communities safe, and grow our economy.”
Sales tax collections totaled $1.4 billion in January, coming in $5.1 million below estimate. Despite the monthly shortfall, year-to-date sales tax revenue reached $9.1 billion, exceeding projections by $40.2 million, or 0.4 percent.
Personal income tax revenue delivered one of the strongest gains for the month, totaling $1.8 billion — $87 million above estimate. Fiscal year-to-date collections now stand at $10.3 billion, which is $173.5 million, or 1.7 percent, above forecast.
Corporation tax revenue for January totaled $228.7 million, falling $25.7 million short of projections. Even so, year-to-date corporation tax collections reached $2.5 billion, exceeding estimates by $31.9 million, or 1.3 percent.
Inheritance tax revenue posted a notable surplus, generating $183.7 million for the month — $55.2 million above estimate. That pushed fiscal year-to-date inheritance tax collections to $1.1 billion, which is $64.6 million, or 6.5 percent, above forecast.
Realty transfer tax revenue came in at $59.4 million in January, $1.7 million above estimate. For the fiscal year, collections total $363.9 million, exceeding projections by $14.2 million, or 4.1 percent.
Other General Fund taxes, including cigarette, malt beverage, liquor, and gaming taxes, totaled $129.7 million for the month, finishing $15.9 million above estimate. Year-to-date collections in that category now stand at $975.8 million, which is $44.4 million, or 4.8 percent, above forecast.
Non-tax revenue added another $100.3 million in January, exceeding estimates by $49.1 million. Fiscal year-to-date non-tax revenue totals $1.1 billion, or $48 million, 4.4 percent above projections.
Outside the General Fund, the Motor License Fund received $266.2 million in January, $31.1 million above estimate. Fiscal year-to-date collections for the fund total $1.9 billion, exceeding projections by $27.9 million, or 1.5 percent.
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