Rhode Island
Budget boost: RI revenue projections climb by $67.5 million. What to know.
Congressman Gabe Amo discusses the 2024 election
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PROVIDENCE – With the Rhode Island economy still chugging along, state revenue collections were revised up $67.5 million on Friday.
The new revenue projections are welcome news for state budget writers facing a $398 million projected deficit for the year starting next July and the end of the federal pandemic aid that has fueled state spending for the last three years.
The new projections from the state’s twice-a-year Revenue Estimating Conference of fiscal advisers predict Rhode Island will collect $5,556,600,000 in revenue during the current budget year, up from the $5,489,117,361 billion they estimated in May.
The biggest changes to expected revenue were:
- Personal income taxes up $48 million
- Penalties and fees up $25.9 million
- Bank taxes up $10.5 million
- Estate tax up $11.8 million
- Sales tax up $2 million
- Health care provider tax up $2.5 million
On the other side of the ledger, these sources were revised down:
- Lottery income down $25.4 million
- Corporate tax down $4 million
- Insurance tax down $2.6 million
- Cigarette tax down $700,000
Looking ahead to the fiscal year starting July 1, 2025, the new projections estimate that state revenue will grow another 2.3% to $5,682,820,283.