Breckenridge sees another positive sales tax month

The city of Breckenridge will see another increase in sales tax returns this month from the same period a year prior. These allocations are based on sales made in September by businesses that report tax monthly, and on sales made in July, August and September by quarterly filers.

Texas Comptroller Glenn Hegar announced Wednesday, Nov. 9 he will send cities, counties, transit systems and special purpose districts $1.1 billion in local sales tax allocations for November, 7.1% more than in November 2021.

Breckenridge’s rebate this month from their 2% rate is $230,739.16, up 8.06% compared to the $213,509.58 rebate received during the same month last year. So far this year, the city’s rebates are up 12.36%, to $2,102,483.52 compared to $1,871,193.45 received at this time last year.

Stephens County collects no county-level sales tax.

October sales taxes

On Monday, Nov. 1, Hegar said state sales tax revenue totaled $3.82 billion in October, 11.9% more than in October 2021. The majority of October sales tax revenue is based on sales made in Sep- tember and remitted to the agency in October.

“Rapid growth in state sales tax revenue was again led by business spending,” Hegar said. “Double-digit growth in receipts continued from the mining, construction, manufacturing and wholesale trade sectors, fueled in part by high inflation in the prices of building materials and other business inputs.

“Receipts from restaurants and retail trade were up from a year ago at about the respective rates of inflation in prices for those sectors, possibly indicating a reduction in real per capita spending for those items as rising costs for housing and groceries claim larger shares of household budgets.

“Within retail trade, the greatest growth was in receipts from automobile and parts dealers, online shopping and general merchandise stores. Receipts from furniture and home furnishings stores, and sporting goods and hobby stores, were down from the previous year.”

Total sales tax revenue for the three months ending in October 2022 was up 14% compared to the same period a year ago.

Texas collected $588 million from motor vehicle sales and rental taxes, up 8% from October 2021. Texas collected $312 million from motor fuel taxes, down 3% from October 2021. The state collected $544 million from oil production taxes, up 33% from October 2021. The state collected $410 million from natural gas production taxes, up 59% from October 2021.

Texas collected $66 million from hotel occupancy taxes, up 22% from October 2021. The state also collected $150 million from alcoholic beverage taxes, up 16% from October 2021.

Sales taxes are the largest source of state funding for the state budget, accounting for 56% of all tax collections, according to the comptroller’s office.