Tax revenues have fallen in many states, especially compared with the tax revenue windfalls many states experienced in the first half of 2013. This was because of the widespread expectation that tax rates would rise, prompting money managers, corporations and high-net worth individuals to report income or sell stock at the end of 2012. For the first quarter of 2014, corporate tax revenue dropped in 20 states and personal income tax revenues fell in 10.

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