Feb. 17 (Bloomberg) — New Jersey’s budget shortfall for the current fiscal year is now $3.6 billion, up from a projection of $2.1 billion a month ago, according to a handout from Governor Jon Corzine’s office.
State revenue collections fell $526 million short of projections last month, Treasurer David Rousseau said in a statement today. Through January, total revenue totaled $1.33 billion under target for fiscal 2009, which ends June 30.
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“Our revenue collections reflect the pervasive impact from the global economic crisis,” Rousseau said in the statement.
Corzine, speaking to reporters today in Trenton, said his administration has identified $472 million in additional spending cuts to help balance the budget. Those reductions include mandatory furloughs of state employees in May and June, he said.
The state will put $270 million into the unemployment benefits fund to cover increased claims and avoid a business tax increase, Corzine said.
For January, revenue totaled $2.4 billion, which is nearly 18 percent under target, Rousseau’s statement said. The gross income tax was $229.9 million, or 13.8 percent, below projections, the sales tax was $119.9 million, or 20 percent, below estimates, and corporation business tax collections totaled only $13.7 million, which is $111.2 million, or 89 percent, under projections, the statement said.
Tom Vincz, a spokesman for Rousseau, said the corporation business tax collections were made worse by a high number of returns. He said he had no further details.
Corzine, a first-term Democrat seeking re-election this year, is due to present his budget for the next fiscal year in March. The governor last month proposed $812 million of midyear spending reductions to help close the then-$2.1 billion shortfall for the current year.
