TENNESSEE DEPARTMENT OF REVENUE PROVIDES ANALYSIS OF
APRIL 2006 COLLECTIONS

NASHVILLE, Tenn. - April 2006 collections of the Tennessee Department of Revenue were $1,290,329,608, an increase of $137,729,568 or 11.9 percent over April 2005 collections.

Sales and use tax collections were $564,233,541, up $35,771,223 or 6.8 percent over April 2005 collections. The retail trade group was up 3.5 percent over last year's collections. Building materials stores (up 12.8 percent), eating and drinking places (up 7.7 percent), miscellaneous retail stores (up 3.9 percent) and furniture stores (up 6.8 percent) contributed to the increase in collections for the retail sector. Sales tax receipts from the services group were up 5.8 percent, with increased collections in hotels and lodging places (up 14.5 percent) leading the group. Collections from the non-retail, non-services group were up 16.7 percent, with increases in the communications (up 43 percent), wholesale trade (up 15 percent), electricity, gas and sanitary services (up 10 percent), and construction (up 32.4 percent) sectors accounting for most of the increase. Consumer use tax collections were down 9 percent from April 2005 collections.

Franchise and excise tax collections were $387,244,793, up $70,809,530 or 22.4 percent when compared to April 2005 collections. Separately, franchise tax collections were $138,932,219, up $13,758,874 or 11 percent over last year. Excise tax collections were $248,312,574, up $57,050,656 or 29.8 percent over April 2005 collections.

Income tax collections were $154,291,309, an increase of $30,464,726 or 24.6 percent over last year's collections.

Motor vehicle registrations were $30,000,512, exceeding last year's collections by $4,625,189 or 18.2 percent.

Collections from the privilege taxes were $25,836,362, a 4.2 percent or $1,033,393 increase over total privilege taxes collected in the same period last year.

Collections from the inheritance, gift and estate taxes were $14,374,132, a decrease of $2,977,030 or 17.2 percent compared to collections in the same period one year ago.

Tobacco tax collections were $9,947,352, a decrease of $2,343,908 or 19.1 percent from collections in the same period last year.

Gasoline tax collections were $49,626,619, a decrease of $2,137,031 or 4.1 percent from April 2005 collections.

The Department of Revenue collects approximately 92 percent of total state tax revenue. During the 2004-2005 fiscal year, the department collected $9.6 billion in state taxes and fees. In addition to collecting state taxes, $1.7 billion of local sales tax was collected by the department for local governments during the 2004-2005 fiscal year. Besides collecting taxes, the department enforces the revenue laws fairly and impartially in an effort to encourage voluntary taxpayer compliance. The department also apportions revenue collections for distribution to the various state funds and local units of government. To learn more about the department, log on to www.Tennessee.gov/revenue.

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