Missouri revenue falling short of budget

JEFFERSON CITY, Mo. -- Halfway through Missouri's budget year, state revenue is sluggish.

The state budget office reported Thursday that Missouri's revenue increased 1.2 percent through the first six months of the 2012 fiscal year. Revenue needs to grow at about 2.7 percent to meet the mark set by the budget.

Budget director Linda Luebbering said the revenue report was "concerning." But she noted that the revenue could improve in the second half of the budget year. Missouri budgets take effect July 1.

Luebbering says corporate tax collections have been less than expected. Individual income taxes and sales taxes each have grown by 2.2 percent.

State sales tax collections were down 4 percent in December 2011 compared with December 2010.