General fund revenues in Virginia have increased by 7.0 percent, or $286.9 million, during the first two months of Fiscal Year 2026 compared to the same period last year, according to an announcement from Governor Glenn Youngkin. For August alone, total general fund revenues rose by 6.8 percent ($132.7 million) over August of the previous year.
The state’s revenues for August exceeded official projections by 6.2 percent ($122.0 million), and year-to-date collections are ahead of forecast by 6.5 percent ($266.5 million). These results mark a strong start to the fiscal year.
Governor Youngkin stated, “Virginia remains in an incredibly strong financial position two months into this fiscal year, driven largely by increased individual income and sales tax revenue.” He continued, “With the addition of August’s excess revenue collections to the FY 2025 revenue surplus and end-of-year balances, the Commonwealth currently has more than $1.8 billion in incremental revenues available as we begin the process of developing the next biennial budget that I will introduce in December.” The governor also said, “Virginia is the destination where companies from around the world are investing and building their future, with $135 billion in capital investment commitments since January 2022 from companies expanding in the Commonwealth. These results reflect the underlying strength of Virginia’s job market, financial position, and opportunities for all Virginians.”
Secretary of Finance Stephen E. Cummings added, “Through the first two months of the fiscal year, Virginia continues to see revenue collections outperforming our expectations.” He noted further: “While national macroeconomic indicators suggest a period of slower growth, our prudent FY 2026 forecast already assumed lower growth than last year and the Commonwealth continues to see revenue collections exceeding forecast as we begin the process of developing the revenue forecast for the 2026-28 biennium.”
The full August 2025 revenue report will be made available online.
