State Tax and Economic Review, 2023 Quarter 2

Total state government tax revenue collections declined 12.8 percent in nominal terms and 15.7 percent in real terms in the second quarter of 2023 relative to a year earlier. The inflation-adjusted growth rates differed significantly across key revenue sources in the second quarter of 2023. Personal income tax revenues declined 30.1 percent, corporate income tax revenues declined 13.8 percent, sales tax revenues decreased 1.5 percent, and motor fuel tax collections increased 4.4 percent compared to the same period a year earlier.