LITTLE ROCK, AR - December revenue for Arkansas has registered a slight uptick over 2012 numbers.
Both gross and net revenue was up for the state last month about 3 percent over last year.
The full report released today is below:
DECEMBER REVENUE SUMMARY
December Net Available General Revenues total $472.1 million, $15.6 million or 3.4 percent above last year and $2.8 million or 0.6 percent above forecast.
Results in December included an early deposit to general revenue of $5.7 million from securities fees relative to forecast and prior year experience, an otherwise small contributor to general revenue. This early deposit, recorded as Miscellaneous in the report, offset small variances below forecast in other revenue categories, including Individual Income, Corporate Income, and Sales tax.
Individual Income tax receipts appear low relative to last year due to the impact of income tax strategy last year as reflected in the comparisons. We expect this adverse comparison to continue across the remainder of the fiscal year in a variety of individual income tax components.
December Gross General Revenues: December collections total $533.0 million, an increase of $15.4 million or 3.0 percent above last year and $1.0 million or 0.2 percent above forecast.
December Individual Income Tax collections total $245.3 million. Collections increased by $2.3 million, or 0.9 percent compared to last year. With respect to the forecast, collections were $1.9 million or -0.8 percent below forecast. Individual withholding decreased -2.9 percent compared to last year.
December Individual Income Tax Refunds total $3.3 million, $1.4 million or 73.1 percent above last year and $1.3 million or 64.0 percent above forecast. Refund amounts above forecast detract from net available fund results.
December Sales and Use Tax Collections: December collections total $186.5 million, an increase of $5.6 million or 3.1 percent above last year. Collections were below monthly forecast levels by $4.1 million or -2.2 percent.
December Corporate Income Tax collections total $63.7 million, an increase of $0.9 million from year ago, and $0.2 million or -0.3 percent below forecast.
December Corporate Income Tax Refunds total $6.8 million. This amount is $0.3 million below year ago levels. Refunds were $1.2 million below forecast.
December Tobacco Tax collections, a smaller component of general revenue in annual terms, total $19.3 million. Collections decreased by $0.2 million or -0.8 percent from year earlier levels and were above forecast by 4.1 percent. Monthly changes in tobacco tax collections can be attributed to uneven patterns of stamp sales to wholesale purchasers.
YEAR-TO-DATE REVENUE SUMMARY
Year-to-date Net Available General Revenues: Year-to-date net available general revenues total $2.5 billion, $85.2 million or 3.5 percent above year ago levels. After six months into the fiscal year, net available revenue is above forecast by $32.2 million or 1.3 percent.
Year-to-date Gross General Revenues: Year-to-date gross collections total $2.9 billion, representing an increase of $95.5 million or 3.4 percent above last year. Gross general revenues are above forecast by $26.9 million or 0.9 percent.
Year-to-date Individual Income Taxes: Year-to-date individual income tax collections total $1.3 billion, $30.0 million or 2.3 percent above FY 2013 collections and $0.4 million or fractionally above forecast. Collections for individual withholding are up 0.8 percent from year ago levels.
Year-to-date individual income tax refunds total $54.2 million, up $2.3 million or 4.5 percent compared to last year and $0.2 million or -0.5 percent below forecast. Amounts below forecast in refund categories add to net available revenue.
Year-to-date Sales and Use Tax Collections: On a year-to-date basis, sales and use taxes total $1,100.8 million, an increase of $41.7 million or 3.9 percent from FY 2013 and $1.9 million or -0.2 percent below forecast.
Year-to-date Corporate Income Taxes: Year-to-date corporate revenues total $203.6 million, an increase of $12.2 million or 6.4 percent from year-to-date FY 2013.
Corporate income is above forecast by $9.1 million or 4.7 percent.
Year-to-date corporate income tax refunds total $39.1 million, an increase of $1.6 million compared to the same year-to-date period last year.
SPECIAL REVENUES OF NOTE
Year-to-date Soft Drink Tax (for Medicaid Program Trust Fund): Year-to-date collections of the dedicated soft drink tax total $21.8 million, a decrease of -5.4 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 percent to 6.0 percent, 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 December 2013, $38.9 million was collected and deposited to the fund. After deductions, the net amount is $37.7 million. The monthly collection is equivalent to a 4.0 percent increase from prior year collections.
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