Like it or not, the outlook for sales tax revenues for 2010 continues to be less than desired, according to an article on WSJ.com.

According to the Census Bureau, sales tax revenues for third quarter 2009 fell 9 percent to $70 billion compared to the same period in 2008, while income tax revenues fell 12 percent in the same period. Sales and income tax revenues make up about half of state and local tax revenue.

“We expect continued weakness well into 2010, if not further,” says Lucy Dadayan, an analyst at the Rockefeller Institute of Government at the State University of New York. A full report published by the Rockefeller Institute is available for download.

In state-by-state news, 22 states – including Connecticut, Illinois and Oregon – saw third-quarter revenues decline more than 10 percent. Several states depending on revenues from the energy industry had decreases in tax revenue, including Wyoming, Texas and Oklahoma. Only three states – Nevada, New Hampshire and Rhode Island –had quarterly increases.