Capital Region sales tax revenue growing faster than inflation so far in 2022 – The Daily Gazette
ALBANY – Stable consumer spending and high inflation are boosting sales tax revenue sharply so far in 2022.
The State Comptroller’s Office reported on Wednesday that sales tax collections by Capital Region governments in the first four months of this year were up 14.9% from the same four months. month of 2021.
But inflation cuts both ways for local governments, State Comptroller Thomas DiNapoli said in a press release: As their revenues rise, so do their expenses.
“My office is closely monitoring the impact of inflation on the New York economy,” he said.
Inflation has reached its highest level in 40 years, with the consumer price index increasing by around 7% in 2021 and continuing to rise sharply in 2022. But many people are also earning higher wages and spending what they earn.
In the first four months of 2022, local governments in the Capital Region collected $304.6 million in sales tax, compared to $265.2 million in the same period of 2021, 227.4 million in 2020 and $235.8 million in 2019.
Looking at April alone, Schenectady County, at -12.7%, was the only county in the state to see a year-over-year decline in revenue. But it recorded by far the largest year-over-year increase (+130.9%) in the state in April 2021.
The 2021 spike is the result of a company losing a long-running call, County Executive Rory Fluman said Wednesday, and the 2022 drop reflects the fact that it was a one-time phenomenon. .
Despite April, the trend is in the right direction so far this year, Fluman said.
Schenectady County sales tax revenue for the first four months of 2022 significantly exceeded the same periods of 2020 and 2019.
Here are the sales tax collections for municipalities in the region for the first four months of 2022 and the percentage change compared to the same period of 2021:
- Albany County $108M 17.9%
- Fulton County $9M 16.3%
- Gloversville $1.5M 7.6%
- Johnstown $1.7M 25.9%
- Montgomery County $13.7M 16.7%
- Rensselaer County $37.5M 16.1%
- Saratoga County $50.6M 13.8%
- Saratoga Springs $4.4M 18.7%
- Schenectady County $40.8M 2.3%
- Schoharie County $6.6M 19.5%
Sales tax collections by all local governments in the state increased 19.7% in the first four months of 2022 compared to the same period in 2021, to $6.88 billion.
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