General Fund Revenues Up Halfway Through FY23

Virginia’s General Fund revenue collections for the first half of the fiscal year were up 6.5% over the prior years. On an unadjusted basis, general fund revenues were 0.8% higher versus the projected 8.8% decline in Governor Glenn Youngkin’s December proposed budget amendments for the full fiscal year. The repeal of the Accelerated Sales Tax and the recently enacted optional Pass-Through Entity Tax added $509 million to collections but they were offset by tax rebates and changes to the standard deduction.