INDIANAPOLIS — The sluggish revenue results that defined the first half of Indiana's budget year seem to have turned around last month as state revenue exceeded expectations by 5.6 percent.
In January, Indiana collected a total of $1.6 billion in tax revenue, according to data released Friday by the State Budget Agency.
That was $85.4 million more than predicted by the revised state revenue forecast. It also was enough to push the annual state revenue total to 1 percent above expectations through seven months of the budget year.
As recently as October, state revenue was running nearly 3 percent below the predictions used by lawmakers last April to craft Indiana's two-year spending plan.
The turnaround in January largely was due to individual income tax revenue soaring $102.2 million, or 14.5 percent, above predictions, which added $808.7 million to the state's coffers.
Similarly, the $742.7 million in January sales tax receipts was $17.1 million, or 2.4 percent, more than expected.
On the other hand, corporate income tax refunds in January exceeded net collections for the fourth time this budget year, with Indiana paying out $21.1 million more than it took in from taxes on business income.
But, overall, the data show state revenue on a year-over-year basis is up $131.7 million, or 1.5 percent, compared to the same seven-month period last year.