Tennessee revenue collections for November exceeded the budgeted estimate. Department of Finance and Administration Commissioner Butch Eley announced recently that overall November state revenues were $1.1 billion, which is 1.97% more than November 2019 and $129.5 million more than the budgeted estimate.
“November sales tax collections, which represents consumer taxable sales activity in October, includes the first month of sales tax payments made by marketplace facilitators, which accounted for 2.9% of our sales tax growth,” Eley said. “The negative growth in franchise and excise tax collections, which is a combination of tax filings and estimated payments, reflects the sensitivity of these taxes to business cycle fluctuations.
“The good news is that we are in a positive position relative to the state’s budget and we intend to keep our spending in line with revenue collections while continuing to maintain citizen services. We will continue to plan for the worst and hope for the best.”
In Trousdale County, state sales tax receipts were $307,857.31 in November, up 0.33% from the same time last year ($306,839.53), while local sales tax receipts were $132,432.97, up 15.9% ($114,222.07).
Trousdale County also took in $136.93 in income tax, $33,917.56 in motor vehicle tax, $18,410.05 in realty transfer & mortgage tax and $3,216.50 in business tax during November.
On an accrual basis, November is the fourth month in the 2020-2021 fiscal year.
General fund revenues for November were $123.9 million more than the budgeted estimate, and the four other funds that share in state tax revenues were $5.6 more than the budgeted estimate.
Sales tax revenues were $122.2 million more than the estimate for November. The November growth rate was 7.09%. The year-to-date growth rate is 4.57%.
Year-to-date revenues for four months were $576.4 million more than the budgeted estimate. The general fund exceeded estimates by $557.1 million and the four other funds that share in state tax revenues exceeded estimates by $19.3 million.
The budgeted revenue estimates for 2020-2021 are based on the State Funding Board’s consensus recommendation of Nov. 26, 2019 and adopted by the second session of the 111th General Assembly in June 2020. Also incorporated in the estimates are any changes in revenue enacted during the 2020 session of the General Assembly. These estimates are available on the state’s website at tn.gov/content/tn/finance/fa/fa-budget-information/fa-budget-rev.html.
— Staff report