UPDATE 1-NY banks' June tax payments double year-ago
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By Joan Gralla
NEW YORK, July 20 (Reuters) - Banks in New York state paid more than twice as much in taxes this June than they did a year ago, the state comptroller said on Monday, as their business improved from the depths of the credit crisis.
Nonetheless, the state's total tax revenues missed forecasts by $305 million.
"This information implies that it was simply a good month for bank tax collections or that there were a few big filers," a spokeswoman for Democratic Comptroller Thomas DiNapoli said by e-mail, noting the rise did not stem from audits.
Payments by banks, which help make New York City a global financial capital, rose to nearly $328 million in June from $156 million in June 2008.
Last year's credit crunch led a few of the brokerages that also help drive the city and state economies to transform themselves into banks so they could take advantage of federal aid.
A state tax spokesman was not immediately available to comment on the unexpected increase in bank tax payments. Banks typically pay most of their taxes on a quarterly basis and June was the end of the state's first fiscal quarter.
Both Goldman Sachs (GS.N) and Morgan Stanley (MS.N) became commercial banks when their share prices tumbled in 2009, despite having to comply with extra regulations.
The same two banks have also repaid the billions of dollars they received in federal aid from the TARP program. However, while Goldman earned $4.93 per share in the latest quarter, Morgan Stanley on Wednesday is expected to report a loss of about 50 cents a share, according to analysts polled by Thomson Reuters.
Spokesmen for the two banks had no immediate comment on the state comptroller's report.
(Additional reporting by Steve Eder)
(Reporting by Joan Gralla; Editing by James Dalgleish and Dan Grebler)
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