Fiscal cliff deal slows Colorado revenue gains
January 19, 2013
DENVER (AP) – Colorado state government stands to lose $45 million in the current fiscal year and $100 million in the next one because of tax changes included in the federal fiscal cliff agreement.
The Denver Post reported Saturday (http://tinyurl.com/a5rmp3n ) the revenue cuts will come in estate tax revenue.
Last month, state officials projected that state tax revenue would be $159 million more than expected in the current fiscal year as the economy improves and $142 million more than expected in the next year.
Officials say the decline in estate tax revenue means this year’s revenue will be $114 million more than projected and next year’s would be $42 million.
That will affect discussions over which programs should get additional revenue, including education and tax relief for the poor.
Information from: The Denver Post, http://www.denverpost.com