Today, Governor Jim Justice announced “unbelievable” state revenue collections for August of more than $331.4 million for the month, which exceeded estimates by 12.1 percent or $35.8 million.
Under the experienced leadership of Governor Justice, he has turned record budget deficits into unbelievable budget surpluses, even as West Virginia recovers from the economic impact of COVID-19. Before the devastating effects on the economy of the pandemic, he had delivered historically high revenue numbers and historically low unemployment figures.
“Overall, the numbers in this state are unbelievable…August is almost on the heels of July. In addition to all of that, from a cash standpoint we’re close to $250 million to the good at this time. The same two months, before we had COVID, of last year we had $21 million. We’ve got 12 times the money today that we had last year,” said Governor Jim Justice.
The surplus in revenue collections was primarily driven by personal income tax collections, consumer sales and service tax collections, and corporate net income tax collections, all of which exceeded estimates. The August tax collection announcement brings West Virginia’s year-to-date tax collections to over $815 million, 11 percent ahead of estimates.
The report shows signs of a growing economy as the state recovers from the COVID-19 global pandemic. Personal income tax collections for the month were $4,543,419 above estimates. Collections of the consumer sales and service tax for the month beat estimates by $4,355,139, a percent increase over last year, and a sign that West Virginians are spending more on consumer goods. Corporate net income tax collections reached $2.6 million, which surpassed the $500,000 state revenue officials estimated.
West Virginia families, small businesses, and our communities have made the hard choices and helped make this unimaginable revenue announcement possible. Thanks to the strong, experienced leadership of Governor Jim Justice, this is a story you are not going to find in another state. West Virginians are uniting, making tough sacrifices, helping one another, and our state is united and stronger.