(AUSTIN) — Texas Comptroller Glenn Hegar reports that Texas’ state sales tax revenue totaled $2.57 billion in September, 6.1 % less than in September 2019.
The five Lamb County cities received a combined total of $154,059.56 in sales tax revenue for September, 2020, which was greater than the $134,064.62 for the same period the previous year of 2019. Together, they have received combined a total of $1,358,756.03 for the year, which is compared with the $1,181,698.78 they had last year.
The City of Amherst received a return of $2,257.54, which is a 28.29% increase over the last year’s return of $1,759.71. So far in 2020, Amherst has received a total of $19,517.51, compared to the $21,744.59 it had at this time in 2019. That’s a drop of -10.24%.
The City of Earth received $6,982.46 sales tax return for this period, which is down -0.40% from last year’s return of $7,010.83. Earth has received a total of $63,439.99 for the year so far, which is a 5.62% increase over last year’s total of $60,060.34.
The City of Littlefield received a return of $113,613.03 for this period, which is a 9.745% over last year’s $103,523.65 for this same period. Littlefield’s total for the year so far, is $1,013.714.76, which is a 13.12% increase over the $896,108.60 it had in 2019.
The City of Olton’s return amounted to $19,827.53, which is a giant 32.40% increase over last year’s return of $14,974.74. For the year, Olton has received a total of $161,456.42. That is an 18.28% increase over last year’s total of $136,496.82 at this same time.
The City of Sudan received a sales tax return of $11,374.00, which is a 67.37% increase over last year’s return of $6,795.69 for this period. Sudan has received a total of $100,627.35 for the year, which is a 49.54% increase over the $67,288.43 it had by this time in 2019.
Over in Hockley County, the City of Anton received a return of $3,253.34, which is a 50.25% increase of 2019’s return of $2,098.59 for this period. Anton’s total for the year is $25,922.38, which is a 30.36% increase over the $19,884.86 it had in 2019.
The majority of September sales tax revenue is based on sales made in August and remitted to the agency in September.
“The COVID-19 pandemic and low price of crude oil continue to weigh on the Texas economy and sales tax revenue,” Hegar said. “As was the case the last month, state sales tax receipts from all major sectors, other than retail trade, were down compared with the same month last year, with the steepest declines in the oil and gas-related sectors.
“Receipts from the information sector were down due to federal preemption of sales taxation of internet access service. While tax receipts grew from some lines of retail business, especially those related to home improvements and outdoor recreation, most of the increase from retail trade was due to remittances from online out-of-state vendors and marketplace providers who did not collect Texas tax a year ago, but which are now required to collect and remit Texas tax following the Wayfair decision and subsequent legislation passed last session.
“Pandemic-induced changes in consumer shopping behavior also were apparent in generally increased receipts from big box retailers and declines from department stores, apparel stores and other mall and strip center specialty retailers. Receipts from restaurants also remain significantly below pre-pandemic levels.”
Total sales tax revenue for the three months ending in September 2020 was down 2.5% compared to the same period a year ago. Sales tax is the largest source of state funding for the state budget, accounting for 60 % of all tax collections. The effects of the COVID-related economic slowdown also were evident in some other sources of revenue in September 2020.
Texas collected the following revenue from other major taxes: motor vehicle sales and rental taxes — $454 million, up 4.3% from September 2019; motor fuel taxes — $294 million, down 9.7% from September 2019; oil production tax — $227 million, down 31.9% from September 2019; natural gas production tax — $71 million, down 28.1% from September 2019; hotel occupancy tax — $34 million, down 36.9% from September 2019; and alcoholic beverage taxes — $78 million, down 33.7% from September 2019.
For details on all monthly collections, visit the Comptroller’s Monthly State Revenue Watch. For an extensive history of tax policy developments and fees since 1972, visit our updated Sources of Revenue publication.