Tax collections still lagging in Minnesota

Weaker-than-expected income tax payments put Minnesota's July tax collections behind expectations.

Across all tax and revenue streams, the state took in $6.6 million less than it was counting on. The swing in the monthly revenue update from the Minnesota Management and Budget Department is small considering total receipts exceeded $763 million.

The shortage was caused mostly by lagging individual income tax payments, which were $29 million less than projected. Sales taxes were also down. But stronger corporate income taxes and vehicle sales taxes filled in some of that gap.

Monday's report only gives revenue figures and doesn't provide updates on state spending patterns.