NEA sales tax collections continue record-breaking movement
by February 16, 2021 3:08 pm 714 views
Jonesboro and Northeast Arkansas’ largest county, Craighead County, continue an unparalleled sales tax growth pattern that has lasted the better part of a decade. Both the city and county registered record sales and use tax hauls during the month of January despite a mayoral change and ongoing COVID-19 pandemic.
Northeast Arkansas’ hub city raked in $1.715 million in city sales and use tax receipts, a 1.4% ($23,811) increase as compared to the same month in 2020, according to the city. It is a 3.2% ($52,871) increase when compared to the budget prediction for the month.
The haul in January 2021 follows an all-time record year in 2020. The city collected $20.036 million – a 5.1% ($972,970) increase from 2019. It was an increase of about 3.5% over budgeted projections. Former Jonesboro Mayor Harold Perrin said previously he thinks collecting sales taxes online have helped to buffer the numbers.
Sales tax numbers lag by 60 days meaning the numbers released in January were collected in November. Economists consider sales tax collections as a leading economic indicator, one that can show how a local economy can be expected to perform in the short-term.
Craighead County collected $1.950 million in county sales and use taxes during the January 2021, a 2% ($63,000) uptick from the previous January.
The county mirrored Jonesboro in terms of sales tax growth during 2020. The county collected $22.739 million, a more than 5% ($1.458 million) increase from 2019. It is the most in sales tax collections the county has ever reported.