YTDYTD%MarchMarch%Tax ComponentFY 2007FY 2008Change20072008ChangePersonal Income 357.53 392.88 9.89% 15.56 17.49 12.40%Sales & Use 169.91 174.91 2.94% 16.17 16.63 2.84%Corporate 49.19 51.02 3.72% 19.57 13.02 -33.47%Meals & Room 89.67 95.57 6.58% 10.76 11.33 5.30%Insurance Premium 47.66 47.67 0.02% 7.07 1.73 -75.53%Inheritance & Estate 17.14 9.38 -45.27% 3.90 0.26 -93.33%Real Property Transfer 9.68 8.65 -10.64% 0.84 0.75 -10.71%Other 57.17 55.83 General FundToday, Secretaryof Administration Michael K. Smith released the General Fund revenue resultsfor the month of March, the ninth month of fiscal year 2008. General Fundrevenues totaled $68.72 million, -$7.74 million or -10.12% less than the $76.46million consensus revenue target for the month. The resulting fiscalyear-to-date General Fund revenue total of $835.91 million is -$1.09 million or-0.13% below the recently revised consensus forecast of $837.00 million. “TheGeneral Fund results for the month were adversely affected by certain taxreceipts that were received in February but included in the March target. However,it should be noted that excluding the timing item, General Fund revenue forMarch was still below target.”Vermont is beginning to feel the impact of the nationaleconomic condition. We are in for a rough period,” said Smith, “hopefully,short in duration, but nonetheless Vermont will be impacted by the national economy.”The monthlyconsensus cash flow targets reflect the most recent fiscal year 2008 ConsensusRevenue Forecast that was agreed to by the Emergency Board on January 16, 2008. Normally, theStates Consensus Revenue Forecast is updated two times per year, in Januaryand July. However, this year, due to concerns about the national economy, theEmergency Board will be meeting on April 15, 2008 to consider revising the consensus revenueforecast.MonthlyPersonal Income Tax receipts are the largest single state revenue source, and arereported Net-of-Personal Income Tax refunds. Personal Income Tax for March ($17.49million) was above target by +$3.63 million, with the fiscal year-to-datePersonal Income Tax results showing above target performance of +$4.86 million or+1.25%, and +$35.35 million or +9.89% ahead of the prior year-to-date. “WhileNet Personal Income Tax remains above target, we are watching a trend of abovetarget refunds that, if it continues, could reduce the favorable results in NetPersonal Income Tax. Although Corporate Income Tax was +$0.15 million ahead oftarget for the month ($13.01 million vs. $12.86 million) and +$2.29 millionabove target year-to-date ($51.02 million vs. $48.73 million), we are concernedfor future results; we are beginning to see some erosion in corporate profits,”said Smith.”Theconsumption taxes are softening and are of concern,” Smith noted. The Rooms& Meals Tax of $12.83 million fell below target again this month (by -$1.50million or -11.73%). Sales and Use Tax was essentially on target for the month($16.63 million vs. $16.62 million) and remains only slightly above targetyear-to-date at $174.91 million (+$0.37 million or +0.21%).Smith noted that, “The Other General Fundcategories are also of concern, with below target results for both the month(-$10.01 million or -49.38%) and year-to-date (-$6.76 million or -5.27%).” TheOther General Fund category includes Insurance Tax, Estate Tax, Bank FranchiseTax, Telephone Tax, Liquor Tax, Property Transfer Tax, Fees, and Other Taxes. “TheInsurance Tax fell below target again by -$9.10 million or -83.99%, only someof which was due to prior month timing. Estate Tax also fell below target by -$1.9million or -88.29% for the month,” said Smith. Year-to-date, through March, theEstate Tax, which is always difficult to predict, was -$4.98 million or -34.69%below the year-to-date target. General Fund By Major Element (In Millions) Montpelier, VT – Secretary of Administration Michael K. Smith Announces that GeneralFund and Transportation Fund Revenues Were Below Target and Education Fund RevenuesWere Slightly Above Target for March. All Funds May Fall Short of Existing FiscalYear 2008 Revenue Targets.