September 1, 2015 August 1% local option sales tax distribution rebounds 5.8%
The Tax Commission distributed $50.45 million in local 1% sales taxes today, up 5.8% from the same month last year. The August distribution represents sales from June and includes second quarter returns from smaller accounts.
The August distribution is also the final month for fiscal year 2015. At $518 million statewide, fiscal year 2015’s 1% local sales tax distributions were up 5.3% compared to FY2014’s 4.0% increase. Our forecast in December 2013 called for a 3.7% gain.
June’s 5.8% gain was strong relative to the nationwide increase in retail trade sales of 1.8%.
The largest city in the state, Salt Lake City, saw its distribution rise 1.3% in August. Since its population impact was -0.8% and the state’s overall gain was 5.8%, we compute its direct sales were down 1.7% in August. Its three month average distribution was up 5.8% and its fiscal year-to-date gain was 5.6%.
17% distribution gains were recorded in South Jordan and Lehi in August. Midvale (12%), Holladay (10.6%) and Centerville (12.7%) recorded gains in the low teens.
Surprisingly, Moab posted a near 9% distribution decrease from last year.