The Idaho Board of Examiners was forced into an emergency meeting with Governor Butch Otter Thursday after learning that the Idaho Tax Commission’s refund account had been emptied.
A flood of early tax filers drained the account forcing state leaders to authorize the transfer of $30 million from the state General Fund to the account.
Idaho Budget Chief Wayne Hammon says its the third time in four years the state has had to make a similar transfer.
Between the end of January and the end of February the account had paid out over $90 million in refunds and received only $17.2 million in deposits.
Officials say the problem is that citizens who are due a refund tend to file earlier, while those who owe the state money are more likely to wait until closer to the April 15th deadline.
Twenty percent of state income tax filings go into the account, which then are used to pay refunds. As more people pay their taxes, the account should grow. Last year the board transferred $20 million into the account in late March and got back $13 million. (Idaho Statesman)
