California Controller Reports September Tax Receipts Exceeded Budget

California's General Fund receipts reached $22.9 billion in September 2026, surpassing 2026-27 Budget Act projections by $2.9 billion, or 14.4 percent. State Controller Malia M. Cohen reported that stronger revenue collections were driven by increases across the state's three major tax categories.

Corporation tax collections exceeded budget estimates by $1.4 billion (52.1 percent), while personal income tax revenues were $1.1 billion (8.0 percent) above projections. Retail sales and use tax collections also surpassed expectations by $156 million (5.5 percent).

Despite the higher revenues, Controller Cohen noted that state spending is also running ahead of projections. Year-to-date disbursements through September totaled $11.8 billion, 13.5 percent above budget estimates. State operations spending was $4.3 billion over projections, and local assistance disbursements were $4.1 billion higher than anticipated.

As of September 30, 2026, the General Fund reported an ending cash balance of $0.0 billion, with outstanding internal loans totaling $326.4 million.