Business Report: Overall revenue collections fall, state bond sale proceeds

New numbers show that total revenue collections in the fiscal year to date are down 7.7% compared to last year

New Jersey’s revenue collections continue to trend downward. A report on October’s numbers show that total revenue collections in the fiscal year to date are down 7.7% compared to the same period last year. State Treasurer Elizabeth Maher Muoio notes that revenues are tracking slightly ahead of projections made in September. But she expects collections to remain weak heading into the winter months as the coronavirus case numbers rise.

In the latest report, revenues from income and corporate business taxes declined. But revenues from the sales tax increased in October, showing the strongest growth since February, which the state attributed to residents receiving stimulus checks and extended unemployment benefits.

The Murphy administration is moving forward with the more than $4 billion bond sale to help the state manage through the anticipated revenue decline this fiscal year. The offering was priced at a low interest rate due to strong investor demand. New Jersey will repay the bonds over 12 years.