NASHVILLE, TN - Tennessee revenues exceeded budgeted estimates for the month of June. Department of Finance and Administration Commissioner Jim Bryson today reported that total June tax revenues were $2.5 billion, $281.8 million more than the budgeted estimate and $182.2 million more than June 2025. The total tax growth rate for the month was 7.72 percent.

General fund revenues were $282.2 million more than the June estimate, while the four other funds that share in state tax revenues were $0.4 million less than the estimates.

On an accrual basis, June is the eleventh month in the 2025-2026 fiscal year.

"Total revenues had a strong performance in June, surpassing last year's collections," Bryson said. "Sales tax receipts, which reflect consumer activity in May, were solid. Corporate tax revenues, including franchise and excise taxes, performed even better and accounted for much of the month's surplus. However, fuel tax collections declined from the same period last year, while all other taxes combined exceeded expectations.

"With one month of revenue reporting remaining in the 2025-2026 fiscal year, the state is on track to exceed the revenue estimates established for the year. Nevertheless, we will continue to monitor economic conditions closely."

On a year-to-date basis, August through June, total tax revenues are 3.67 percent greater than the budget estimate, or $764.3 million above expectations. When compared to this same period last year, total tax revenues have grown 6.68 percent or $1.4 billion.

General fund revenues are 4.11 percent greater than the year-to-date budgeted estimate, or $725.4 million higher. Likewise, general fund collections compared to this same period last year have increased 6.58 percent or $1.1 billion.

Individual tax performance compared to June 2026 Budgeted Estimates:

• Sales Taxes: Above estimate by 2.07% or $26.6 million
• Corporate Taxes (Franchise & Excise): Above estimate by 39.62% or $251.4 million
• Fuel Taxes: Below estimates by 4.25% or $4.8 million
• All other taxes: Above estimate by 3.79% or $8.7 million

Year-to-date performance compared to Budgeted Estimates:

• Sales Taxes: Above estimate by 1.83% or $251.1 million
• Corporate Taxes (Franchise & Excise): Above estimate by 11.06% or $421.1 million
• Fuel Taxes: Below estimates by 0.51% or $6.0 million
• All other taxes: Above estimate by 4.57% or $98.1 million

Individual tax performance compared to June 2025:

• Sales Taxes: Up 3.94% or $49.7 million
• Corporate Taxes (Franchise & Excise): Up 16.14% or $123.1 million
• Fuel Taxes: Down 4.57% or $5.2 million
• All other taxes: Up 6.53% or $14.6 million

Individual tax performance compared to August 2024 through June 2025:

• Sales Taxes: Up 4.19% or $561.6 million
• Corporate Taxes (Franchise & Excise): Up 17.90% or $641.8 million
• Fuel Taxes: Down 0.56% or $6.6 million
• All other taxes: Up 7.41% or $154.7 million

The budgeted revenue estimates for 2025-2026 are based on the State Funding Board's consensus recommendation from November 25, 2024, which was adopted by the first session of the 114th General Assembly in May 2025. These estimates also incorporate any revenue changes enacted during the 2025 General Assembly session. Monthly estimates for fiscal year 2025-2026 are available on the state's website.

On November 24, 2025, the State Funding Board reconvened and recommended updated revenue projections for the 2025-2026 fiscal year. The Board adopted revised growth ranges of 1.59 percent to 2.04 percent for total taxes and 0.72 percent to 1.32 percent for general fund revenues. Both the Board's upper-limit projection and the growth assumptions outlined in Governor Lee's budget proposal for the second session of the 114th General Assembly reflect no changes to the Department of Revenue's original state tax revenue estimates for the 2025-2026 fiscal year.

On May 16, 2026, during the second session of the 114th General Assembly, the Legislature passed the 2026-2027 budget, incorporating the revised revenue ranges recommended by both the Governor and the Funding Board. The appropriations bill, PC 1142, was signed into law by the Governor on May 22, 2026.

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These are the revenue tables.