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September tax revenue estimate for DC comes in higher than February estimate

Monday, October 2, 2023 - 4:15pm

Our office recently released its quarterly revenue estimate for the FY 2023 – FY 2027 District of Columbia Budget and Financial Plan. We revised our FY 2023 local source revenue estimate upward by $178.8 million based on year-to-date collections data that show higher than expected sales and corporate income tax revenue. Stronger than expected interest earnings from investible reserves also comprise part of the FY 2023 upward revision. We revised the FY 2024 – FY 2027 portion of the estimate upward by a total of $195.4 million, with the improved near-term outlook being followed by modestly slower growth and a deterioration of the commercial real estate market in the out-years relative to the February forecast.  

The increase in estimated revenue for FY 2023 triggered funding for legislation in the Budget Support Act that gives $39.6 million to SNAP recipients and $20 million in cash assistance to excluded workers. 

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Read more about our revenue estimate and economic outlook