Arkansas Revenues Roll in Better than Expected
By: KARK 4 News
Updated: August 2, 2012
Arkansas revenues for July rolled in better than expected.
The state brought in more than 461-million last month in gross general revenue.
Here's the full revenue report:
July Gross General Revenues: July collections total $461.2 million, an increase of $26.4 million or 6.1 percent above last year and $15.7 million or 3.5 percent above forecast.
July Individual Income Tax collections total $212.1 million. Collections increased by $18.5 million, or 9.6 percent, compared to last year. With respect to the forecast, collections are $12.8 million or 6.4 percent above forecast. Individual withholding expanded 8.2 percent compared to last year.
July Individual Income Tax Refunds total $8.4 million, $1.1 million or 15.0 percent above last year and $0.9 million or 11.4 percent above forecast.
July Sales and Use Tax Collections: July collections total $177.9 million, a decrease of $1.0 million or -0.6 percent from last year. Collections were below monthly forecast levels by $7.5 million or -4.0 percent.
July Corporate Income Tax collections total $25.9 million, an increase of $0.7 million or 3.0 percent above year earlier levels, and $3.3 million or 14.7 percent above forecast.
July Corporate Income Tax Refunds total $1.2 million. This amount is $0.8 million or 38.6 percent below year ago levels.
July Tobacco Tax collections, a small component of general revenue, total $18.3 million or 21.9 percent below year earlier levels, and matched forecast. Monthly changes in tobacco tax collections can be attributed to uneven patterns of stamp sales to wholesale purchasers.
Educational Adequacy Fund: Act 107 of the Second Extraordinary Session of 2003 increased the state sales and use tax rate from 5.125% to 6.0%, effective March 1, 2004. Effective July 1, 2004 a new sales tax on selected services went into effect in addition to an increase in vending machine decal fees. Act 94 increased the minimum corporate franchise tax and the tax rate, effective for calendar years beginning January 1, 2004.
The additional revenues are deposited as special revenues to the Educational Adequacy Fund to be used to fulfill the financial obligations of the state to provide an adequate educational system. In July 2012, $37.6 million was collected and deposited to the fund. After deductions, the net amount is $36.4 million. The monthly collection is equivalent to a 0.8 percent increase from prior year collections.
The state brought in more than 461-million last month in gross general revenue.
Here's the full revenue report:
JULY REVENUE SUMMARY
July Net Available General Revenues total $403.9 million, $26.9 million or 7.1 percent above last year and $15.3 million or 3.9 percent above forecast. Results within major revenue lines were mixed as both individual and corporate income exceeded forecast and year ago collections. A decline in sales tax relative to a year ago and forecast offset part of the gains this month.July Gross General Revenues: July collections total $461.2 million, an increase of $26.4 million or 6.1 percent above last year and $15.7 million or 3.5 percent above forecast.
July Individual Income Tax collections total $212.1 million. Collections increased by $18.5 million, or 9.6 percent, compared to last year. With respect to the forecast, collections are $12.8 million or 6.4 percent above forecast. Individual withholding expanded 8.2 percent compared to last year.
July Individual Income Tax Refunds total $8.4 million, $1.1 million or 15.0 percent above last year and $0.9 million or 11.4 percent above forecast.
July Sales and Use Tax Collections: July collections total $177.9 million, a decrease of $1.0 million or -0.6 percent from last year. Collections were below monthly forecast levels by $7.5 million or -4.0 percent.
July Corporate Income Tax collections total $25.9 million, an increase of $0.7 million or 3.0 percent above year earlier levels, and $3.3 million or 14.7 percent above forecast.
July Corporate Income Tax Refunds total $1.2 million. This amount is $0.8 million or 38.6 percent below year ago levels.
July Tobacco Tax collections, a small component of general revenue, total $18.3 million or 21.9 percent below year earlier levels, and matched forecast. Monthly changes in tobacco tax collections can be attributed to uneven patterns of stamp sales to wholesale purchasers.
SPECIAL REVENUES OF NOTE
July Soft Drink Tax (for Medicaid Program Trust Fund): July collections of the dedicated soft drink tax total $4.3 million, a decrease of $0.3 million or -6.4 percent from last year.Educational Adequacy Fund: Act 107 of the Second Extraordinary Session of 2003 increased the state sales and use tax rate from 5.125% to 6.0%, effective March 1, 2004. Effective July 1, 2004 a new sales tax on selected services went into effect in addition to an increase in vending machine decal fees. Act 94 increased the minimum corporate franchise tax and the tax rate, effective for calendar years beginning January 1, 2004.
The additional revenues are deposited as special revenues to the Educational Adequacy Fund to be used to fulfill the financial obligations of the state to provide an adequate educational system. In July 2012, $37.6 million was collected and deposited to the fund. After deductions, the net amount is $36.4 million. The monthly collection is equivalent to a 0.8 percent increase from prior year collections.
