Providence, R.I. -- The Rhode Island Department of Revenue (DOR) today released its FY 2020 Revenue Assessment Report for July 2019. The Revenue Assessment Report, which is issued on a monthly basis, compares the adjusted general revenues by revenue source on a fiscal year-to-date and monthly basis to expected general revenues by revenue source. Expected general revenues are estimated by the DOR's Office of Revenue Analysis from the revenue estimates enacted in the FY 2020 budget. The methodology underlying the Office of Revenue Analysis' estimates is contained in the report.
July Year-To-Date Performance: On a fiscal year-to-date basis, the July 2019 report shows that adjusted total general revenues are ahead of expected total general revenues, based on the revenue estimates enacted in the FY 2020 budget and the Office of Revenue Analysis' estimation methodology, with adjusted total general revenues $2.3 million more than expected total general revenues, a variance of 0.9 percent. The strongest driver of this outperformance is personal income tax withholding payment revenues which are up $6.3 million, or 6.9 percent, over expectations. In addition, adjusted cigarette and other tobacco products excise tax revenues are $1.7 million more than expected, a variance of 14.7 percent. On the negative side, adjusted sales and use tax revenues are $2.0 million less than expected, a variance of 1.9 percent, and departmental receipts revenues are $1.2 million below the estimate for fiscal year-to-date through July, a 8.5-percent difference.
Regarding July year-to-date performance, Director of Revenue Mark A. Furcolo made the following observations: • Fiscal year-to-date adjusted total general revenues through July are ahead of expectations by $2.3 million, or 0.9 percent, a decent start to the new fiscal year; • Adjusted personal income tax revenues are $4.0 million above expectations, a variance of 4.4 percent, led by solid personal income tax withholding payment revenues that are offset to some extent by higher than expected personal income tax refunds and adjustments revenues; • Adjusted sales and use tax revenues through July trail expectations by $2.0 million, or 1.9 percent (July sales and use tax revenues reflect June sales activity); • Adjusted departmental receipts revenues are $1.2 million below the estimate, a variance of 8.5 percent; and • Adjusted cigarette and other tobacco products tax revenues are $1.7 million ahead of expectations, a variance of 14.7 percent, with the uptick due to the unpredictable timing of when tobacco products are imported into the state by wholesalers for resale.
July Monthly Performance: Given that July is the first month of the fiscal year, there is no difference in the assessment of revenues on a fiscal year-to-date and a monthly basis.
The entire report can be found on the Department of Revenue's web site, www.dor.ri.gov, under the Revenue Analysis header on the State Reports tab.
Questions or comments on the report should be directed to Paul Grimaldi, Chief of Information and Public Relations by e-mail at paul.grimaldi@revenue.ri.gov or by phone at (401) 574-8766.