State of Connecticut

ACCOUNTING BASIS OF THE REPORT

This report has been prepared on a modified cash basis of accounting, consistent with the prior fiscal year.

Expenditures are charged against appropriations of the year in which they are paid.

Revenues are recognized when received except, in the General and Transportation Funds, for certain accrued taxes and Indian gaming payments and for Federal and other restricted grant revenues which are recognized when earned. The amount of accrued taxes and Indian gaming payments recorded at June 30, 2008, and June 30, 2007, are as follows:

      Fiscal Year Ended June 30,
      (In Thousands)
      2008 2007
General Fund    
  Taxes:
    Personal Income $ 503,304 $ 408,166
  Sales and Use 367,233 452,932
  Petroleum Companies 108,844 87,700
  Public Service Corporations 59,894 56,479
  Corporation 24,391 30,843
  Nursing Home Provider 28,898 28,459
  Real Estate Conveyance 18,966 26,278
  Cigarettes 17,650 15,179
  Alcoholic Beverages 4,706 5,619
  Indian Gaming Payments 32,874 36,080
  Total General Fund 1,166,760 1,147,735
Transportation Fund
  Gasoline 30,199 33,348
  Special Motor Fuel 8,462 6,501
  Motor Carrier Road 1,117 1,343
  Total Transportation Fund 39,778 41,192
Totals $1,206,538 $ 1,188,927