Skip to main content
  • Experts
  • Events
  • Briefing Book
  • Resources
  • About
  • Contact
  • Support
  • Fiscal Facts
Twitter
Facebook
Logo Site
  • Topics
    • Individual Taxes
    • Business Taxes
    • Federal Budget and Economy
    • State and Local Issues
    • Campaigns, Proposals, and Reforms
  • TaxVox Blog
  • Research & Commentary
  • Laws & Proposals
  • Model Estimates
  • Statistics
  • Features
Research report

State Tax and Economic Review, 2022 Quarter 4

Continued Weakness and Variability in State Tax Revenues

Lucy Dadayan
May 17, 2023
Download PDFPrint
Share

Primary tasks

  • Overview(active tab)
  • Full Report

Abstract

Total state government tax revenue collections declined 0.4 percent in nominal terms and 6.4 percent in real terms in the fourth quarter of 2022 relative to a year earlier. Revenue growth rates varied considerably among major revenue sources and across states in the fourth quarter of 2022. Real personal income tax revenues declined 15.7 percent, while real corporate income tax revenues increased 4.2 percent in the fourth quarter of 2022 compared with the same quarter in 2021. Real sales tax collections were flat while real motor fuel tax collections declined 9.4 percent in the fourth quarter of 2022.

Preliminary data for the first quarter of 2023 indicate substantial weakness in overall state tax revenue collections, as well as in major sources of state tax revenues. This weakness was expected and is partly in response to state policy actions, including tax rate cuts and rebate payments. Total state tax revenues declined 8.8 percent in nominal terms and 13.4 percent in real terms int the first quarter of 2023 compared with the same period in 2022.

Research Area

State and Local Issues State and local taxes
To reuse content from the Tax Policy Center, visit copyright.com, search for the publications, choose from a list of licenses, and complete the transaction.

Meet the Experts

  • Lucy Dadayan
    Senior Research Associate
Research report

New Evidence on The Effect of The TCJA On the Housing Market

Robert McClelland, Livia Mucciolo, Safia Sayed
March 30, 2022
  • Donate Today
  • Topics
  • TaxVox Blog
  • Research & Commentary
  • Laws & Proposals
  • Model Estimates
  • Statistics
  • Privacy Policy
  • Newsletters
Twitter
Facebook
  • © Urban Institute, Brookings Institution, and individual authors, 2022.