Wisconsin’s fiscal outlook darkens as year-to-date tax collections for 2024-25 slip below the Legislative Fiscal Bureau’s (LFB) projections, casting a shadow over the state’s budget negotiations, the Department of Revenue warns.
With the LFB poised to unveil revised fiscal estimates for the 2023-25 budget, as well as their forecasts for the next biennium any day, uncertainty looms.
In January, the LFB had optimistically predicted a 4.3% revenue surge for 2024-25 over the prior year, but that hope is fading.
Through April, tax collections crept up a mere 3.2% compared to the same 10 months in 2023-24, a troubling slowdown. The state had been 5.7% ahead through February and 4.8% through March, but the momentum is waning.
April brought grimmer news: income and corporate taxes plummeted compared to last year, with only a modest 4.1% rise in sales tax offering a faint glimmer of relief.
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Wisconsin Department of Revenue
