{MD} Comptroller says revenue estimates may be cut (BaltSun)

[eppur_se_muova]

By Brian Witte | The Associated Press
2:34 PM EST, February 17, 2009
The recession's chilling effect on state tax collections may force Maryland to make a substantial reduction in revenue estimates for the coming months, Comptroller Peter Franchot warned lawmakers today.

Franchot released January revenue figures as lawmakers prepare for more bad news next month, when the state's Board of Revenue Estimates meets to announce revised income figures for fiscal year 2009, which ends June 30, and fiscal 2010. The estimate will play a role in the state's budget process.

"Fourth quarter estimated payments for the individual income tax were alarmingly weak, and even with the bar set very low, sales tax performance continues to disappoint," Franchot wrote in a letter to lawmakers.

Revenue collections for the state's general fund in January were $1.2 billion, a decline of 8 percent over January 2008.
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"As baseline revenues have declined roughly 6 percent for the year, and no turnaround in sight, sales tax receipts will almost certainly be revised downward -- yet again -- next month," Franchot wrote.
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more: http://www.baltimoresun.com/news/local/politics/bal-state-revenue0217,0,2137735.story

Second-order effects from the financial collapse, coming soon to your home state.