Sales tax revenues rise again
Starkville retailers continue to defy the stagnant national economy as the latest sales tax figures show growth for the sixth straight month
Starkville’s sales tax collections for the first six months of 2010 are more than $130,000 above what was collected for the same period in 2009, according to the latest figures reported by the Mississippi Tax Commission.
City officials received the latest tax figures this week. It takes two months for the Tax Commission to process the revenue and report the figures to municipalities.
For June, Starkville businesses collected $426,622.12 as compared to $416,409.09 for June 2009. For the first six months of 2010, the city has seen $2,618,193.28 in sales tax collected as compared to the $2,487,372.63 collected for the same period in 2009.
This marks a $130,820.65 increase.
Each of the first six months of 2010 saw increases in sales tax collection as compared to the same months in 2009 with the exception of February of this year, which was down a little over $2,000 in collections as compared to February 2009.
The sales tax collections from January to May saw a monthly average of $436,365.55, while tax collections for all of 2009 saw a monthly average of $427,479.76.
The fact that the year-to-date collections continue to show an increase over 2009 levels is very encouraging for future economic growth, said Jon Maynard, president and CEO of the Greater Starkville Development Partnership.
“The fact that sales tax collections have risen for a sixth straight month continues to be very positive for our community,” Maynard said Friday.
“We’re very optimistic this trend will continue, especially with Mississippi State’s football season getting under way. We can fully expect that more goods and services will be purchased in our community, meaning that further growth in sales tax revenues will occur.”
“I think that by the end of the year, we’re going to have seen some substantial growth,” Maynard said, noting that such positive trends send positive signals to prospective retailers considering locating in Starkville.
Revenues from the 2 percent restaurant and hotel tax have also held steady and have seen incremental growth for the first six months of this year
The 2 percent tax revenues from January to June 2010 total $696,574.68, as compared to the $531,891.70 collected for the same period for 2009. The first sixth months of 2010 have seen a monthly average of $116,095.78 in 2 percent tax collections. For 2009, the monthly average was $110,173.07.
The 2 percent tax revenues are split among the Starkville Convention and Visitors Bureau (15 percent), the Starkville Parks and Recreation Department (40 percent), the city (10 percent), the Oktibbeha County Economic Development Authority (15 percent) and Mississippi State University (20 percent).
The CVB and EDA are both member agencies of the GSDP.