Tax revenue way over forecast

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    The state of Minnesota collected $3.3 billion in May, a stunning $1.5 billion or 119% more than forecast, according to Minnesota Management and Budget.

    Some of the discrepancy comes from the late tax filing season this year, but it’s also a sign of the state’s red hot economy coming out of the pandemic.

    Gov. Tim Walz is set to talk about the bullish new fiscal situation at a Thursday morning news conference.

    Legislators entered the year with a deficit, which in a matter of months has become a ballooning surplus.

    Walz and the divided Legislature still need to pass a two-year budget by July 1 or the government will shut down. The new numbers should make compromise easier.

    Max Nesterak
    Max Nesterak is the deputy editor of the Reformer and reports on labor and housing. Most recently he was an associate producer for Minnesota Public Radio after a stint at NPR. He also co-founded the Behavioral Scientist and was a Fulbright Scholar to Berlin, Germany.