TOPEKA, Kan. (AP) — Kansas is reporting that its tax collections in July were 11% greater than expected, good news even as the spread of the more contagious COVID-19 delta variant has some officials worried about the economy.
The state Department of Revenue says Kansas collected nearly $603 million in general tax revenues last month. Its official forecast predicted $543 million, making the surplus $60 million.
It was the 12th consecutive month in which tax collections were greater than expected. Revenues have been less than anticipated in only three months during the past four years.
July’s surplus came after Kansas ended its 2021 budget year on June 30 with tax collections 9.3% or $758 million more than expected and cash reserves approaching $2 billion.
Mark Burghart, the Department of Revenue’s top administrator, said consumer spending on goods and services has not slowed down.
He said the state has seen a strong economic recovery since the coronavirus pandemic prompted Gov. Laura Kelly to impose restrictions last spring on businesses and public gatherings.
But new COVID-19 cases have risen steadily over the past six weeks because of the delta variant, and Burghart said department economists are watching to see whether it hurts the economy.
