Governor Spanberger announces General Fund Revenues grew 7.3 percent year-over-year through April

Virginia’s general fund revenues continued to outperform expectations in April, according to figures released Tuesday by the administration of Abigail Spanberger, though state officials cautioned that inflation, economic uncertainty and recent job losses could still impact the Commonwealth’s financial outlook in the months ahead.

The governor’s office reported that April revenues increased 6.9 percent compared to April of last year. Through the first 10 months of Fiscal Year 2026, total collections are up 7.3 percent and are currently running 3.3 percent ahead of the projections included in Virginia’s amended budget.

According to the administration, growth has been fueled largely by strong individual income tax collections and sales tax receipts, while corporate income tax revenues have remained weaker than expected.

Governor Spanberger said the revenue numbers are encouraging but warned that broader economic concerns continue to create uncertainty for Virginia families and businesses.

“Revenues for Fiscal Year 2026 are ahead of expectations entering the final months of the year, though continued national uncertainty warrants caution,” Spanberger said in a statement. She pointed to inflation linked to the ongoing war in Iran and recent job losses in Virginia, including reductions connected to federal workforce cuts, as areas of concern.

Spanberger said her administration would continue focusing on providing stability for businesses, families and investors amid those economic pressures.

Virginia Secretary of Finance Mark D. Sickles also described the April report as positive overall but noted that some of the gains may not represent long-term trends.

“April revenues came in well above expectations, though the major cause of this overperformance was a simple timing anomaly in withholding payments,” Sickles said.

State officials reported that Virginia is currently $851 million ahead of forecasted expectations. However, finance officials noted that nearly 70 percent of that amount — approximately $578 million — came from more volatile revenue categories, including nonwithheld individual income taxes and individual tax refunds.

Sickles cautioned that continued inflation could eventually force consumers to reduce spending, potentially affecting Virginia’s broader economy and future tax collections.

The administration said the full April 2026 revenue report has been made publicly available through the Commonwealth.