From Deseret News archives:

Utah expecting big tax surplus

It may reach $260 million by end of fiscal year, July 1

Published: Wednesday, June 20, 2007 2:58 a.m. MDT
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Residential construction may be down a bit, also. But when the new wave of commercial construction starts up — with the LDS Church's billion-dollar remodeling of two downtown blocks — that section of the Utah economy will also move forward, she said.

Utah's per-gallon gasoline tax has not dipped, even though drivers are paying more than $3 a gallon.

Senate budget chairman Lyle Hillyard, R-Logan, said he can't believe that the basic state road tax won't be harmed by high gas prices.

Perhaps gas tax revenues will fall, or at least slow way down, as the $3-per-gallon prices start to sink into the Utah economy, said Hillyard.

Utah's job growth in 2006 was at 5 percent, a very strong number.

Senate Majority Leader Curt Bramble, R-Provo, said some may worry about job growth dropping to 3.4 percent by the end of this year. "But 3 percent job growth is very good over time; we should realize that," Bramble said.

And the state's tax take in personal income taxes has exploded. It has grown from $1.7 billion in 2004 to an estimated $2.5 billion this fiscal year, Wilko said.

Income tax reform/reductions in 2007 and 2008 should reduce the overall tax burden on Utahns, state leaders said.


E-mail: bbjr@desnews.com

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