Many observers say Minnesota could have an even larger budget surplus than the record 7.7 billion dollars, when an updated economic forecast comes out in a few weeks:
Bolstering that opinion is the latest monthly report showing Minnesota tax collections 25 percent higher than expected in January. (Corporate tax collections comprised the vast majority of it, at 642 million dollars, but individual income tax revenues were 42 million dollars less than expected.) State budget officials as standard procedure urge caution in drawing conclusions from monthly numbers, noting there can be wide variations from month-to-month. House Republicans say there’s a possibility the next forecast could show a surplus over 10 billion dollars — around one-fifth of the state budget — which would make the tax-versus-spend debate even more heated at the Capitol.