The Nelson A. Rockefeller Institute of Government: “The nation’s prolonged economic downturn continued to sap the states’ fiscal strength during the third quarter of 2009, with overall tax revenues declining for the fourth consecutive quarter, according to a preliminary report issued by the Rockefeller Institute of Government today. For the 44 states reporting third-quarter results, overall tax revenues declined 10.7 percent, compared to the same period a year earlier.”
“The most significant decline occurred in the corporate income tax category, with a drop-off of 19.4 percent. For the two other primary sources of state tax revenues — personal income taxes and sales taxes — the declines were 11.4 and 8.2 percent, respectively. Further declines are expected to continue in the fourth quarter, the report noted. Overall, the tax revenues collected by the 44 states fell from $134 billion during the third quarter of 2008 to $119.7 billion during the same period this year.”
Arizona’s tax revenue is down 16.3%.