Get Full Government Meeting Transcripts, Videos, & Alerts Forever!
Get email alerts on the Sales Tax topic
No spam. Unsubscribe anytime.
Economic Forum approves fiscal-division sales-tax forecast after MINT timing adjustment
Summary
After hearing presentations from forecasters and the Department of Taxation on the MINT reporting change, the Economic Forum voted to adopt the Fiscal Analysis Division's sales-and-use tax forecast with a pro forma adjustment that recognizes two weeks of shifted receipts from FY26 into FY25 under the new MINT closedate.
The Economic Forum voted on May 1 to adopt the Fiscal Analysis Division's forecast for the state 2% sales-and-use tax, applying a pro forma timing adjustment to reflect the Department of Taxation's MINT implementation.
Fiscal Analysis Division staff explained they treated the MINT cutover as shifting roughly two weeks of commerce that previously would have posted in the next fiscal year into the current year; the forum agreed to apply that adjustment when selecting a forecaster. Forum members then approved the division's forecast numbers with the MINT timing correction for FY 2025, 2026 and 2027.
Approved figures recorded during the meeting: fiscal year 2025 state 2% sales-and-use tax (after the MINT timing adjustment) $1,776,556,000; fiscal year 2026 $1,840,000,000; fiscal year 2027 $1,874,000,000. (Forecasters presented slightly different numbers; the forum selected the Fiscal Analysis Division outcome as most defensible given current receipts, the reporting changes, and conservative risk exposure.)
Motion and outcome: A motion to adopt the Fiscal Analysis Division forecast with the MINT adjustment was made and seconded; the motion carried unanimously by voice vote (record: "All in favor? Aye. All opposed? Motion carries.").
Why it matters: The state 2% sales tax is a major general fund source. Members explicitly discussed the difference between accrual-style filing-period reporting and the new cash-based revenue-period reporting and asked staff to produce reconciliation tables that will be included in the final forecast packet.
Quote from the meeting: "These $75,300,000 in our forecast... are entirely accounted for by our assumptions with respect to project Mint," Kristin Tower, Fiscal Analysis Division.
Follow-up: Legislative Council Bureau and Department of Taxation staff will publish reconciled tables and a memo explaining the pro forma adjustments and how the new series compares with the historical series; that documentation will accompany the May forecast letter to the governor and legislature.
