Northwest Arkansas sales tax revenue up 18.67% in July report

Sales tax revenue was up 18.67% in Northwest Arkansas’ four largest cities’ July report. Bentonville, Fayetteville, Rogers and Springdale reported cumulative sales tax revenue of $8.988 million, up more than $1.4 million from the same period last year.

July revenue is comprised from the 1% of local sales tax each city collected on goods and services in May. The local sales tax revenue growth is also boosted by higher prices, with the Consumer Price Index up 8.6% in May from the year-ago period.

Each of the four cities also had at least $2 million in monthly revenue in the July report, marking the second time that has occurred this year or any prior year. Bentonville saw the largest revenue gains reported in July at $2.158 million, up 30.68%. The city is benefiting from its largest employers, Walmart and Sam’s Club having corporate employees return to their offices after more than a year of working from home. Walmart has said many of its corporate office employees continue to work on hybrid schedules but there are more people reporting to physical offices than in the past two years.

Through the first seven months of sales tax reports this year, Bentonville has collected almost $13.686 million, up 13% from the $12.102 million reported at the same time last year.

Springdale also had a stellar report for July with sales tax collected in May totaling $2.018 million, up 22.07% from a year ago. Springdale Mayor Doug Sprouse recently said the higher prices on fuel are likely keeping people close to home when it comes to shopping and eating out. Springdale has revenue of $12.807 million reported through the first seven months of 2022, up 19.69% from the $10.699 million reported a year ago.

Rogers saw its sales tax revenue jump 15.94% in its July report. The city had sales tax revenue of $2.304 million, the second best month this year. Mayor Greg Hines said consumers are out and about despite the rising gasoline prices, but he expects to see spending decline later this year. Year-to-date Rogers has sales tax revenue of $15.217 million, up 14.61% from the same period last year.

Fayetteville also had a strong sales tax revenue report for July with revenue of $2.507 million, up 9.89% from a year ago. The city continues to benefit from growth at the University of Arkansas which is poised to welcome another record number of Freshman this fall, topping the 29,000 reported a year ago.

Through the first seven months of this year Fayetteville has reported more than $2 million in sales tax revenue each month totaling almost $16.944 million. Revenue is up 9.72% year-over-year through the July report.