Arkansas tax revenue up 4.8% in May
by June 4, 2012 12:29 pm 114 views
Sales tax collections in Arkansas were up 4.7% in May, with the month marking the sixth straight month of gains the collections that are a good measure of consumer spending.
Gross general revenue in the fiscal year collections (July 2011-May 2012) report released Monday (June 4) was $5.342 billion, up 4.3% compared to the 2010-2011 period, with individual income tax collections totaling $2.641 billion, up 5.5% compared to the 2010-2011 period and 0.1% below the budget forecast.
“The major revenue categories of individual and corporate income tax and gross receipts are up relative to year ago levels. The amount above forecast is primarily accounted for by lower than projected income tax refunds and stronger than expected collections of corporate income, tobacco, and gross receipts taxes,” noted John Shelnutt, head of the Department of Finance and Administration’s Economic Analysis & Tax Research division.
Shelnutt also said individual income tax refunds contributed to collections being above forecast. He said payouts fell below forecast, and individual and corporate income tax collections were up relative to year ago levels.
Year-to-date (July 2011-May 2012) gross receipts collections — primarily sales and use taxes — totaled $1.947 billion, an increase of $41.7 million or 2.2% from last year, and 0.1% above forecast. The gross receipts tally is an indicator of consumer spending.
Year-to-date corporate income taxes totaled $353.5 million, an increase of $34.8 million or 10.9% from year-to-date last year. Corporate income is above forecast by 0.9%.
Total revenues reported in the May report were $433.9 million, up 4.8% compared to May 2011. The April individual income tax collections were $205.8 million and gross receipts collections totaled $174.2 million, up 4.3% and 4.7%, respectively.
OTHER TAX COLLECTIONS
Alcoholic beverage
July 2011 – May 2012: $29.4 million
July 2010 – May 2011: $29 million
Games of skill
July 2011 – May 2012: $24.8 million
July 2010 – May 2011: $12.6 million
Tobacco
July 2011 – May 2012: $220.3 million
July 2010 – May 2011: $220.1 million
Insurance
July 2011 – May 2012: $65.8 million
July 2010 – May 2011: $67.7 million
COLLECTIONS HISTORY
Arkansas tax collections reversed a negative two-year slide in the 2011 fiscal year, with collections up 4.5% in the July 2010-June 2011 period.
State tax collections for fiscal year 2011 totaled $5.673 billion, up 4.5% above the $5.43 billion in the 2010 period. Total state revenue of $5.43 billion in fiscal year 2010 was 2.4% below the previous fiscal year and marked the second consecutive year of revenue decline.
The biggest declines in the 2009 and 2010 fiscal years were with individual income tax collections and sales and use tax collections.