Jonesboro sales tax collections up 5.5%

Jonesboro continues to collect sales and use tax at record rates each month, but those collections are underperforming the budgeted expectations for the year to date. The city tallied $2.160 million in collections during July, a 5.5% ($112,000) uptick from the same month in 2022, according to City Hall.

For the year, the city remains on an all-time collections pace. Jonesboro has collected $15.456 million, a 6.6% ($954,122) when compared to the first seven months of last year. However, the July collections are 4.5% down when compared to the projected budget. Year to date, the city’s projected collections are down .7% ($102,730).

Sales tax figures lag by 60 days meaning the numbers released were collected two months prior. 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.

Northeast Arkansas’ hub city has a diversified workforce that has helped it to withstand national economic downturns in recent decades, according to officials. That diverse mix of jobs include healthcare, manufacturing, government, retail, agriculture and others. The city also is a hub for those in surrounding counties seeking healthcare, and Arkansas State University is the region’s largest university and employer.

Craighead County collected $2.457 million during the month of July, about $130,000 more than it collected during the same month last year. To date, the county has tallied $17.513 million in sales and use tax. It’s still on pace to set an all-time collections record.