It could be a timing-is-everything-situation
The state controller released his January cash statement for the state. For the first seven months of the fiscal year, revenues are running over $4 billion ahead of what was anticipated in the original budget. More than all of this amount is coming from the personal income tax. I say more than all because sales tax has come in below forecast – suggesting that the underlying economy is not booming. So why the jump in income tax revenue? It may be that because of the fiscal cliff, etc., wealthy folks – who account disproportionately for the income tax – did…