Arkansas revenue report shows surplus for 2025 fiscal year

LITTLE ROCK, Ark. -The fiscal year is said and done, and the numbers are in. The Arkansas general revenue report for fiscal year 25 shows a $367.9 million surplus.

The total revenue is $8.3 billion, down 4% compared to the last fiscal year, according to the Arkansas Department of Finance and Administration.

Scott Hardin, a spokesperson for the Department of Finance and Administration, says it’s down from previous years but is the 7^th largest surplus for the state.

“We’ve had some record surpluses, we’ve had two years where we are at or around a billion, we’re not quite there, so it’s down slightly,” Hardin said.

Yet, they saw it coming and are not disappointed by it.

“We’ve had three significant tax cuts, income tax cuts, over the past couples of years that have taken hundreds of millions of dollars and those dollars now stay in the pockets of Arkansans,” Hardin said.

Overall, they believe it’s a healthy surplus and a good financial state for Arkansas.

“We’ve already projected the next 12 months and what we think we’re going to see, we think we’re going to have another surplus at the end of this year based on what we’re seeing,” Hardin said.

In a statement, DFA Secretary Jim Hudson said, “Arkansas had strong economic performance in fiscal year 2025.”

“This includes being first in the nation for GDP growth in the fourth quarter of 2024, fifth in the nation for GDP growth for the first quarter of 2025, sixth in the nation for personal income growth in the first quarter of 2025, an upgrade to our bond rating to AA+ by S&P, continued low unemployment, and a top ten ranking among all states in economic outlook,” Hudson said. “For the state budget, all major revenue categories performed above forecast for 2025, with sales tax collections up 4% compared to June 2024, resulting in a fiscal year 2025 surplus of $367.9 million, which was also above forecast. Governor Sarah Huckabee Sanders’ policies that cut taxes and eliminate obstacles to economic growth are making a difference for Arkansans.”

The full revenue report can be read here.