Mississippi’s revenue shortfall is growing by the month. For December, the State Tax Commission reports that state revenue collections were $37.5 million, or 9.5 percent below the revenue estimate.
Collections were down $16.5 million this December from the revenue collected in December 2007.
Individual income tax collections and corporate income tax collections are both significantly below estimates. Sales tax collections, hammered by the credit crunch and tepid consumer confidence, are flat and declining.
That news comes after state officials have already cut $42 million or 2 percent from the state’s $5 billion budget in November. The December revenue numbers indicate that more immediate budget cuts are likely going to be required.