No WhiteWash!

NASHVILLE – Tennessee revenue collections continued to fall short of budgeted estimates in March. Finance and Administration Commissioner Dave Goetz reported today that overall March revenues were $776.5 million, which is $11.7 million less than the state budgeted.

“This marks the 22nd consecutive negative growth month for sales tax collections out of the last 27 months, starting with January 2008,” Goetz said.  “Sales tax collections seem to reflect a degree of renewed consumer confidence, but revenues continue to lag below projections. Until we see clear signs that the economy is recovering we will continue to make budget decisions based on what we’re experiencing in Tennessee.”

On an accrual basis, March is the eighth month in the 2009-2010 fiscal year.  The general fund was under collected by $8.7 million and the four other funds were under collected by $3.0 million.

Sales tax collections were $14.0 million less than the estimate for March.  The March growth rate was negative 0.87%. For eight months revenues are under collected by $211.4 million. The year-to-date growth rate for eight months was negative 5.29%.

Franchise and excise taxes combined were $8.4 million above the budgeted estimate of $122.6 million. For eight months revenues are over collected by $15.7 million. The year-to-date growth rate for eight months was 6.64%.

Gasoline and motor fuel collections for March decreased by 1.70%.  For eight months revenues are under collected by $16.9 million.

Tobacco taxes collections were $1.3 million over the budgeted estimate of $24.4 million. For eight months revenues are over collected in the amount of $1.6 million.

Year-to-date collections for eight months were $244.1 million less than the budgeted estimate. The general fund was under collected by $205.0 million and the four other funds were under collected by $39.1 million.

The budgeted revenue estimates for 2009-2010 are based on the State Funding Board’s consensus recommendation adopted by the first session of the 106th General Assembly in May of 2009, and are available on the state’s Web site at http//www.tn.gov/finance/bud/budget.html.

The State Funding Board met on December 18, 2009 and adopted mid-year revised revenue ranges for 2009-2010. The revised ranges reflect growth rates ranging from negative 1.50% to negative 0.25% in total taxes, and negative 2.35% to negative 0.85% in general fund taxes.  Based on the consensus recommendation, the official budgeted estimates for 2009-2010 were revised in late December.

The revised estimates are reflected on pages A-70 and A-72 in the 2010-2011 Budget Document, and assumed an under collection in total taxes in the amount of $161.3 million, and an under collection of $153.2 million in the general fund.

The funding board met again in March of this year and adopted final revenue ranges for 2009-2010. The board’s consensus recommendation was to recognize lower growth rates than those adopted on December 18, 2009. The revised ranges reflect growth rates ranging from negative 1.77% to negative 1.29% for total taxes, and negative 2.31% to negative 1.78% in general fund taxes.

Based upon the funding board’s March recommendation the revised estimates for 2009-2010 now assume an under collection in total taxes in the amount of $258.9 million, and an under collection of $231.0 in general fund taxes.

Booklet Designed to Give Taxpayers, Lawmakers Simple Guide on Their States’ Rankings on 31 Different Tax and Fiscal Measures

The Tax Foundation has released its 2010 version of Facts and Figures, a pocket- and purse-sized booklet comparing the 50 states on 31 different measures of taxing and spending, including individual and corporate income tax rates, business tax climates, excise taxes, tax burdens and state spending. The booklet is edited by Tax Foundation Analyst Justin Higginbottom.

Facts & Figures: How Does Your State Compare? can be found online at http://www.taxfoundation.org/publications/show/2181.html. For a free copy of the booklet call (202) 464-6200 or email publications@taxfoundation.org.

“As states recover from the recession and legislators attempt to balance budgets and stabilize revenue, it’s important to keep in mind that tax changes affect states’ competitiveness regionally and nationally,” said Tax Foundation President Scott Hodge. “Having accurate and timely information is vital to this discussion, and our annual Facts & Figures handbook provides an indispensable metric.”

States made many significant tax changes in 2009 – enough that the Tax Foundation last summer issued its first-ever mid-year update of Facts & Figures in the annual publication’s history.

California, Connecticut, Delaware, Hawaii, New Jersey, New York, North Carolina, Oregon and Wisconsin increased individual income tax rates, while Louisiana, Maine, North Dakota, Ohio and Vermont reduced them. States that increased sales taxes in 2009 include California, Massachusetts, Minnesota, Nevada and North Carolina, as well as the District of Columbia.

Fourteen states, the District of Columbia and Puerto Rico increased cigarette excise tax rates in 2009, and a number of states increased excise taxes on alcohol.

via The Tax Foundation – How Does Your State Compare? Tax Foundation Releases 2010 Facts & Figures Handbook.

NASHVILLE – State revenue collections once again fell short of budgeted estimates last month. Overall February revenues were $638.9 million, which is $47.1 million less than the state budgeted.

“This entire fiscal year has brought us negative growth in the sales tax, which is almost two-thirds of our revenue,” Finance and Administration Commissioner Dave Goetz said. “Moreover, the running total is now 21 consecutive months of negative growth in sales tax collections since January 2008, when the downward economic spiral began for us in Tennessee.”

“In spite of the budgetary challenges, we have laid out a plan for balancing the budget and we’re working with the Legislature to end this year and the next with a balanced budget, as our constitution requires.”

On an accrual basis, February is the seventh month in the 2009-2010 fiscal year.

The general fund was under collected by $43.8 million and the four other funds were under collected by $3.3 million.

Sales tax collections were $38.4 million less than the estimate for February. The February growth rate was negative 6.67%. The year-to-date growth rate for seven months is negative 5.84%.

Franchise and excise taxes combined were $1.4 million above the budgeted estimate of $33.0 million. For seven months revenues are over collected by $7.4 million. The year-to-date growth rate for seven months is 8.32%.

Gasoline and motor fuel collections for February decreased by 3.86%, but were $180,000 above the budgeted estimate of $68.3 million. For seven months revenues are under collected by $13.9 million.

Tobacco tax collections were $4.0 million under the budgeted estimate of $23.1 million. For seven months revenues are over collected in the amount of $303,000.

Year-to-date collections for seven months were $232.4 million less than the budgeted estimate. The general fund was under collected by $196.3 million and the four other funds were under collected by $36.1 million.

The budgeted revenue estimates for 2009-2010 are based on the State Funding Board’s consensus recommendation adopted by the first session of the 106th General Assembly in May of 2009, and are available on the state’s Web site at http://www.tn.gov/finance/bud/budget.html.

The State Funding Board met again on December 18, 2009 and adopted revised revenue ranges for 2009-2010. The revised ranges reflect growth rates ranging from negative 1.50% to negative 0.25% in total taxes, and negative 2.35% to negative 0.85% in general fund taxes.

Based on the funding board’s consensus recommendation, the official budgeted estimates for 2009-2010 were revised in late December. The revised estimates are reflected on pages A-70 and A-72 in the 2010-2011 Budget Document. The revised estimates assume an under collection in total taxes in the amount of $161.3 million, and an under collection of $153.2 million in the general fund.

via February Revenues | TN.gov Newsroom.

NASHVILLE – Tennessee sales tax collections continue to be a concern for the state’s general fund. Negative growth in sales tax collections continued in January, with overall January revenues coming in at $947.4 million, which is $16.1 million less than the state budgeted.

“January is the 20th consecutive month in which sales taxes have recorded negative growth.” Finance and Administration Commissioner Dave Goetz said. “January collections represent December holiday sales, which brought reports of positive growth at the national level, so it’s very disappointing that we didn’t have a similar experience in Tennessee.

“Despite the severe national recession, the state will continue to monitor spending in order to end the fiscal year with a balanced budget as required by the state’s constitution,” Goetz said.

On an accrual basis, January is the sixth month in the 2009-2010 fiscal year.

The general fund was under collected by $5.2 million and the four other funds were under collected by $10.9 million.

Sales tax collections were $20.4 million less than the estimate for January.  The January growth rate was negative 1.86%. For six months revenues are under collected by $159.0 million. The year-to-date growth rate for six months was negative 5.72 %.

Franchise and excise taxes combined were $11.3 million above the budgeted estimate of $128.5 million. For six months revenues are over collected by $5.9 million.

Gasoline and motor fuel collections for January increased by 5.77 % but were $4.2 million below the budgeted estimate of $71.2 million.  For six months revenues are under collected by $14.1 million.

Tobacco tax collections were $451,000 above the budgeted estimate of $21.9 million, and for six months they are $4.3 million over the budgeted estimate.

Inheritance and estate taxes were over collected by $1.8 million for the month.

All other taxes were under collected by a net of $5.1 million.

Year-to-date collections for six months were $185.1 million less than the budgeted estimate. The general fund was under collected by $152.3 million and the four other funds were under collected by $32.8 million.

The budgeted revenue estimates for 2009-2010 are based on the State Funding Board’s consensus recommendation adopted by the first session of the 106th General Assembly in May of 2009, and are available on the state’s Web site at http//www.tn.gov/finance/bud/budget.html.

The State Funding Board met again on December 18, 2009 and adopted revised revenue ranges for 2009-2010. The revised ranges reflect growth rates ranging from -1.50 % to -0.25 % in total taxes, and -2.35 % to – 0.85% in general fund taxes.

Based on the funding board’s consensus recommendation, the official budgeted estimates for 2009-2010 were revised in late December. The revised estimates are reflected on pages A-70 and A-72 in the 2010-2011 Budget Document. The revised estimates assume an under collection in total taxes in the amount of $161.3 million, and an under collection of $153.2 million in the general fund.

View Revenue Collections

NASHVILLE – The state’s fiscal year continues its trend of negative tax revenue growth, with tax collections falling below budgeted estimates again in December. Finance and Administration Commissioner Dave Goetz today announced that state revenue collections for December – reflecting November retail sales activity – were $766.7 million, which is $54.2 million less than the state budgeted.

“December tax collections represent the 19th consecutive month of negative sales tax growth,” Goetz said. “At the end of the fiscal year, on June 30, we’ll have to adjust for any under collection in the current fiscal year, and make sure our budget for fiscal year 2010-2011 reflects the revenue base available moving forward.”

On an accrual basis, December is the fifth month in the 2009-2010 fiscal year.

The general fund was under collected by $50.8 million and the four other funds were under collected by $3.4 million.

Sales tax collections were $16.6 million less than the estimate for December.  The December growth rate was negative 2.88%. For five months revenues are under collected by $138.6 million, and the growth rate is negative 6.65%.

Franchise and excise taxes combined were $29.5 million below the budgeted estimate of $143.8 million. For five months revenues are under collected by $5.4 million.

Gasoline and motor fuel collections for December decreased by 2.70% and they were $4.3 million below the budgeted estimate of $66.7 million.  For five months revenues are under collected by $9.9 million.

Tobacco tax collections were $5.6 million below the budgeted estimate of $25.7 million, and for five months they are $3.8 million above the budgeted estimate.

Inheritance and estate taxes were over collected by $2.6 million for the month.

All other taxes were under collected by a net of $800,000.

Year-to-date collections for five months were $169 million less than the budgeted estimate. The general fund was under collected by $147.1 million and the four other funds were under collected by $21.9 million.

The budgeted revenue estimates for 2009-2010 are based on the State Funding Board’s consensus recommendation adopted by the second session of the 106th General Assembly in May of 2009. and are available on the state’s Web site at http//www.tn.gov/finance/bud/budget.html.

NASHVILLE – State tax collections fell below budgeted estimates in November, for the fourth consecutive month of the fiscal year that began on July 1, 2009. Finance & Administration Commissioner Dave Goetz today announced that state revenue collections for November were $708.2 million, which is 0.52% below November 2008 collections. November collections reflect consumer spending in October.

“November is the 18th consecutive month in which sales tax collections have experienced negative growth,” Goetz said. “If there’s a bright spot, it’s worth noting that the growth rate for sales tax collections in November, while still negative, fared slightly better than the month before, when it was negative 7.8 percent.”

“It’s important to remember we won’t see how after-Thanksgiving retail sales performed until this time next month, when we’ve collected revenues for November spending.”

On an accrual basis, November is the fourth month in the 2009-2010 fiscal year.

November collections were $13.5 million less than the budgeted estimate. The general fund was under collected by $8.1 million and the four other funds were under collected by $5.4 million.

Sales tax collections were $21.2 million less than the estimate for November. The November growth rate was negative 4.45%. Year-to-date the growth rate is negative 7.52%.

Franchise and excise combined collections for November were $42.3 million, which is $11.6 million above the budgeted estimate of $30.7 million.

Gasoline and motor fuel collections were $5.3 million less than the budgeted estimate of $72.5 million.

Tobacco tax collections for the month were over collected by $4.3, with November collections at $27.8 million.

Inheritance and Estate taxes were under collected by $3.7 million for the month.

All other taxes were over collected by a net of $600,000.

Year-to date collections for four months were $114.8 million less than the budgeted estimate. The general fund was under collected by $96.3 million and the four other funds were under collected by $18.5 million.

The budgeted revenue estimates for 2009-2010 are based on the State Funding Board’s consensus recommendation adopted by the first session of the 106th General Assembly in May of 2009, and are available on the state’s Web site at http//www.tn.gov/finance/bud/budget.html.

via November Revenues | TN.gov Newsroom.

NASHVILLE – For the third consecutive month in the fiscal year that began July 1, state tax collections fell below budgeted estimates.  Finance & Administration Commissioner Dave Goetz today announced that state revenue collections for October were $698.2 million, which is 1.53% below October 2008 collections.  October collections reflect consumer spending in September.

“October is the 17th consecutive month in which sales tax collections have experienced negative growth,” Goetz said. “We are extremely concerned with the year-to-date negative growth in our tax collections, but we are committed to keeping the state’s budget in balance in a responsible manner during this extraordinary national economic downturn.”

“When the nation’s economy shows a strong improvement, Tennessee will likely follow, but there’s usually a good distance of time between national and state economic trends.”

On an accrual basis, October is the third month in the 2009-2010 fiscal year.

October collections were $31.7 million less than the budgeted estimate.  The general fund was under collected by $24.2 million and the four other funds were under collected by $7.5 million.

Sales tax collections were $38.6 million less than the estimate for October.  The October growth rate was negative 7.80 %. Year-to-date the growth rate is negative 8.47%.

Franchise and excise combined collections for October were $11.9 million, and they were $9.6 million above the budgeted estimate of $2.3 million.

Gasoline and motor fuel collections were $2.1 million more than the budgeted estimate of $71.8 million.  However, the sales tax allocation to the Transportation Equity Fund was a negative $7.8 million.  The net result was a shortfall in the highway fund estimate.

Tobacco tax collections for the month were over collected by $600,000, and October collections were $25.1 million.

Inheritance and Estate taxes were under collected by $4.6 million for the month.

All other taxes were under collected by a net of $800,000.

Year-to date collections for three months were $101.3 million less than the budgeted estimate. The general fund was under collected by $88.2 million and the four other funds were under collected by $13.1 million.

The budgeted revenue estimates for 2009-2010 are based on the State Funding Board’s consensus recommendation adopted by the first session of the 106th General Assembly in May of 2009, and are available on the state’s Web site at http//www.tn.gov/finance/bud/budget.html.

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Tennessee, California Have Highest Combined State, Average Local Sales Tax Rates

Tennessee, California, Washington state, Oklahoma and Louisiana have the highest combined state and average local sales tax rates, according to updated information released by the nonpartisan Tax Foundation today. On the other end of the scale, Delaware, Montana, New Hampshire and Oregon all have the lowest combined rates of 0 percent.

Click here for more information on sales taxes from the Tax Foundation

State tax collections again fell below budgeted estimates in August, with sales tax collections recording negative growth for 18 of the last 20 months. Finance and Administration Commissioner Dave Goetz reported today that overall August revenues were $726.9 million, which is 5.74% below collections for August 2008. 

"The continued negative trend in tax collections requires us to continue to closely monitor revenues and adjust expenditures accordingly,” Goetz said.  “August sales tax figures reflect July consumer spending, and represent the first month of collections for the new fiscal year.

"We need to make sure we make adjustments to accommodate for the next several months so we keep the state’s budget in a balanced posture.”

On an accrual basis, August is the first month in the 2009-2010 fiscal year.

August collections were $28.2 million less than the budgeted estimate. The general fund was under collected by $30.5 million and the four other funds were over collected by $2.3 million.

Sales tax collections were $24.6 million less than the estimate for August.  The August growth rate was negative 8.21%.

Franchise and excise taxes combined were $279,000 above the budgeted estimate of $20.6 million.

Gasoline and motor fuel collections increased by 9.13% and were $5.2 million above the budgeted estimate of $68.2 million.

Tobacco tax collections for the month were under collected by $289,000.

Privilege tax collections were $1.4 million less than the budgeted estimate of $17.6 million.

Inheritance tax collections were $3.0 million below the budgeted estimate.

All other taxes were under collected by a net of $4.4 million.

The budgeted revenue estimates for 2009-2010 are based on the State Funding Board’s consensus recommendation adopted by the first session of the 106th General Assembly in May of 2009.

via August Revenues | TN.gov Newsroom.

The Show blog went back into history and dug up some interesting facts concerning the regional sales tax and the building of the MedowView Convention Center.

“The Board of Mayor and Alderman has pledged that revenue from the tax increase will be used to fund the $20 million center’s construction”.

This “pledge”, many would have thought is fulfilled.  This is not so.  We are going to keep these taxes up and fund everything we can.  Of course this will be  at the expense of our atm or “market” , otherwise known as tax payers. It is high time to rid ourselves of this burden.