|FOR IMMEDIATE RELEASE
FRIDAY, SEPTEMBER 10, 2010
CONTACT: LOLA POTTER
NASHVILLE – State tax collections continue to show modest improvement. Finance and Administration Commissioner Dave Goetz today reported that overall August revenues were $749.3 million, which is 3.08% above August 2009 collections.
“Sales tax collections have shown positive growth for the past five consecutive months, and we believe it points to a slowly recovering economy in Tennessee,” Goetz said. “Still, we need to continue to closely monitor our spending patterns in the months ahead to keep the budget in a balanced posture for the next governor."
On an accrual basis, August is the first month in the 2010-2011 fiscal year.
August collections were $5.4 million less than the budgeted estimate. The general fund was under collected by $10.7 million and the four other funds were over collected by $5.3 million.
Sales tax collections were $10.1 million more than the estimate for August. The August growth rate was positive 3.26%.
Franchise and excise taxes combined were $12.0 million below the budgeted estimate of $23.5 million.
Gasoline and motor fuel collections increased by 0.34% and were $4.7 million above the budgeted estimate of $69.0 million.
Tobacco tax collections for the month were over collected by $1.7 million
Privilege tax collections were $3.6 million less than the budgeted estimate of $17.3 million.
Inheritance tax collections were $500,000 above the budgeted estimate.
All other taxes were under collected by a net of $6.8 million.
The budgeted revenue estimates for 2010-2011 are based on the State Funding Board’s consensus recommendation of April 7, 2010 and adopted by the second session of the 106th General Assembly in June. They are available on the state’s website at http://www.tn.gov/finance/bud/budget.html.