Monday, March 11, 2013

Caldwell calls it: Sales tax down

Casual Chris
So, the state number nerds feel that local Tennessee governments can expect a roughly 3 percent or so jump in sales tax revenues. I think that's about an extra $5 million for us. I'm not positive, but I believe that was the number.

Now, the local numbers people are scratching their heads, wondering what planet the folks in the state are living on, but, heck what else is new? Have you seen some of the ridiculousness that lawmakers want to pass?

Anyhoo, through last month sales tax revenue was $107.9 million, compared with $110.6 million at the same time last year.

During a conversation I had with Casual Chris Caldwell, the county's finance guru, he told me that he isn't buying any of the state's snake oil. He feels that Congress's refusal to extend a payroll tax break will play a major role in decreased sales tax revenues (Also, there wasn't a hail storm that caused everyone to run out and buy new cars and fix their roofs.)

"That's 2 percent of your discretionary money that you don't have to spend anymore that's now going to Washington," he told me the other day.

He said we'd have a "clearer picture" when the January numbers came in because that's when the payroll tax breaks ended.

Well, guess what? Yup, we got the January numbers, or at least the numbers for the county. Still waiting on sales tax figures for the city of Knoxville and the town of Farragut.

So, last year the county got $10,196,640.64 in sales tax revenues.

This past January, it received $9,986,466.51.

What's the difference?

Two percent!

Good one, Casual Chris. I got to get this guy to start placing my bets for me.

1 comment:

Brian Paone said...

It's not magic, Donila. Caldwell knew the score because he knows how to do the math - same way Nate Silver was able to make so many talking heads look like morons.