Many States Facing Revenue Shortfalls

According to the Center on Budget and Policy Priorities (CBPP) and the National Association of State Budget Officers, in 2017, 25 states are facing or have addressed revenue shortfalls.  More states expect mid-year revenue shortfalls than in any year since 2010.

This does not bode well for taxpayers as states will look for ways to solidify revenue either through more aggressive enforcement, or enacting new legislation that broadens the tax base, eliminates deductions, credits or exemptions, or raises rates.

The question remains - will federal tax reform increase state tax revenue?

Read the full report here.