The state Council on Revenues on Tuesday revised upward its forecast for the current fiscal year, predicting revenue growth of about 4.5 percent.
The forecast was up from 3.5 percent growth predicted in September.
Economists based the improved number on an overall strong economic outlook, boosted by falling energy prices and steady growth in the construction sector.
The lower price for fuel, particularly gasoline, translates into consumers having more money to spend elsewhere, such as on consumer goods or dining out, Council Chairman Kurt Kawafuchi said.
The Council left the remaining years of the forecast, fiscal years 2016 through 2021, unchanged with projected growth of 5.5 percent in each of those years.