City sales tax up in Sept./Oct.
Brookhaven’s sales tax revenues for September and October show some positive growth, especially when compared regionally.
According to the Mississippi Department of Revenue, Brookhaven’s sales tax diversion for September was $500,236.61, the third highest diversion since January. This number is up 9.23 percent from $457,958.24 in September 2014. September 2014 was a slow one for Brookhaven, it dropped 17.7 percent from $556,908.43 in 2013.
Brookhaven’s diversion for October was $452,248.80. This number is up 1.82 percent from $444,175.86 in October 2014. From October 2013 to 2014, the number grew by 10.07 percent.
Sales tax has a three-month cycle. Month one is when the tax is collected by the retailer, month two is when the tax is reported/paid to the DOR by the retailer and month three is when the sales tax diversion is paid by the DOR to cities. This means the number labeled September reflects the sales tax collected in August, which the city actually receives a check for in October. Further, the number labeled October reflects the sales tax collected in September, which the city receives in November.
Total sales tax diversions to all cities in Mississippi for September was $35,764,864.43, a 2.53 percent increase from September 2014. Total diversions to all cities for October was $35,136,305.09, up 3.19 percent from October 2014. For the month of September, Brookhaven’s 9.23 percent increase compared to the state average of 2.53 is notable. For the month of October, Brookhaven’s growth was just under the state’s city average.
Sales tax revenue diversion vary month to month with different seasons and events. Brookhaven continues to bring in revenues higher than most in the region and close to or more than cities twice its size.
Regionally, Natchez collected approximately $446,916.04 for September (down 6.72 percent from last year’s September figure) and $451,613.01 for October (a decrease of 3.46 percent from October 2014). McComb collected $462,033.96 for September (up 1.03 percent from last year) and $460,477.33 for October (up 4.13 percent from 2014.)