State Revenues $480 Million Above Estimates, No Delays or IOUs this Tax Season
California currently has a $22.3 billion cash deficit, but the latest cash flow report from the State Controller's office today revealed that revenues are $480 million above budget estimates. Translation: this is a good sign, but we're not out of the water yet. “Revenues came in above projections for the third month in a row, continuing a positive trend that shows California is on the road to recovering from the recession," explained State Controller John Chiang. “While the worst may be behind us, we still face cash challenges later in the summer absent enactment of further credible and sustainable budget and cash solutions.”
The higher than anticipated revenues means tax season this year should be back to normal. "Given February’s numbers and recent action from the Legislature to improve the State’s cash flow, Californians should expect to receive their hard-earned tax refunds on time," Chiang said. Last year during the Spring tax season, refunds were delayed. In the summer, IOUs were handed out.