State revenues grew 3.8 percent in December

Georgia tax collections increased by 3.8 percent in December, continuing the sluggish pace of growth seen in November’s 3.6 percent increase.

State revenues were $1.75 billion for the month, a $64.1 million improvement over the December 2012 collections of $1.69 billion.

During the first six months of fiscal year 2014, state revenues were $9.09 billion, which was a 5.1 percent improvement over the $8.65 billion figure reported for the same period a year ago.

Revenue collections were flat or down in most of the major categories.

One significant area of growth was the increase in automobile tag and title fees, a new tax that was implemented in 2013 to replace the sales tax on the purchase of motor vehicles.

Title fee revenues ballooned by 282 percent in December: they were $88.6 million compared to $23.2 million in December 2012. That $65.4 million increase effectively accounted for all of the overall growth in tax collections for the month.

Georgia’s largest revenue source, individual income taxes, inched up by 1.4 percent to $958 million, where it had been $945.2 million in December 2012.

Corporate income tax collections grew by 13.2 percent in December to $153.4 million from $135.5 million a year ago.

State sales taxes dropped by 6 percent to $414.4 million, compared to $440.8 million a year ago. That revenue decrease reflects the elimination of the sales tax on motor vehicle purchases.

For the first six months of the fiscal year, individual income tax collections increased by 2.7 percent, corporate income taxes grew by 30.4 percent, state sales tax declined by 6.2 percent, motor fuel taxes increased by 5.7 percent, and title fees boomed by 257.3 percent.

© 2014 by The Georgia Report



Tags: December 2013 , Georgia revenue collections