Arkansas closed Fiscal Year 2026 on a strong financial note, ending the year with a $655 million budget surplus while fully funding the Revenue Stabilization Act, according to the Arkansas Department of Finance and Administration’s June 2026 General Revenue Report.
Net available general revenues reached $7.149 billion, an increase of $469.6 million, or 7.0 percent, over Fiscal Year 2025. Revenue collections also exceeded the state’s official forecast by $69.2 million.
Gross general revenues totaled $8.687 billion, up 3.9 percent from the previous fiscal year and $48.2 million above forecast.
Individual income tax collections climbed to $3.859 billion, increasing 7.4 percent over the previous year while exceeding projections by $12.2 million. At the same time, individual income tax refunds declined by 15.3 percent, totaling $554.5 million.
Sales and use tax collections also continued to grow, reaching $3.667 billion, an increase of $138.7 million, or 3.9 percent, over Fiscal Year 2025 and finishing $18 million above forecast.
Corporate income tax collections totaled $523.6 million. While collections were slightly lower than the previous year due to changes in tax law, they still exceeded state forecasts by $15.8 million.
For the month of June alone, net available general revenues totaled $787.3 million, exceeding forecast by $59.1 million, or 8.1 percent. Gross general revenues for the month reached $925.2 million, topping expectations by $38.5 million.
June individual income tax collections increased 13.5 percent from the same month last year, while sales and use tax collections rose 4.4 percent, reflecting continued growth across retail trade, utilities, construction, motor vehicles, and accommodation and food service industries.
The report also highlighted continued growth in education funding. Net collections deposited into the Educational Adequacy Fund reached $777.7 million during Fiscal Year 2026, an increase of 4.7 percent over the previous year.
State officials say the strong revenue performance reflects continued economic growth, solid consumer spending, and healthy tax collections across Arkansas.
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