Georgia’s September Net Tax Revenues Down 3.6%

The State of Georgia’s September net tax collections totaled roughly $2.16 billion for a decrease of $81.3 million, or -3.6 percent, while net tax revenue collections for the first quarter of fiscal year 2021 totaled nearly $6.2 billion and marked a year-over-year increase of $365 million, or 6.3 percent.

Individual Income Tax: Individual Income Tax collections during the month totaled almost $1.26 billion, up from $1.13 billion in September FY 2020, for an increase of nearly $126.4 million, or 11.2 percent. Individual Income Tax refunds issued – net of voided checks – were down nearly $9.2 million, or -9.4 percent. Individual Income Tax Withholding payments increased by $103.4 million, or 11.2 percent, over FY 2020. Individual Income Tax Estimated payments decreased by roughly $20 million, or -9.5 percent, from last year. All other Individual Tax categories, including Non-Resident Return payments, were up a combined $33.8 million.

Sales and Use Tax: Gross Sales and Use Tax collections for September increased by $43.8 million, or 4.2 percent, over last year’s total of roughly $1.05 billion. Net Sales and Use Tax totaled just $319.2 million for the month, which was a decrease of $189.6 million, or -37.3 percent, compared to last year. Conversely, the adjusted Sales Tax distribution to local governments totaled $768.3 million for an increase of $240 million, or 45.4 percent, over last year due to a one-time adjustment resulting from the culmination of a series of audits undertaken by the Department of Revenue to assist taxpayers in taking corrective action to restate their previously incorrect Sales Tax allocations for the period of time under review. Lastly, Sales Tax refunds decreased by $6.6 million, or -39.3 percent, from September 2019.

Corporate Income Tax: Corporate Income Tax collections increased by $10.1 million, or 4 percent, from a total of $254.8 million in September 2019 to the current year total of $264.9 million. Corporate Tax refunds issued – net of voided checks – declined by $12 million, or -48.4 percent, from last year. Corporate Income Tax Return payments increased by $12.9 million, or 120.1 percent, over FY 2020. All other Corporate Tax categories, including Estimated Tax payments, were down a combined $14.8 million.

Motor Fuel Taxes: Motor Fuel Tax collections for the month decreased by $1.1 million, or -0.7 percent compared to September 2019 when Motor Fuel Tax collections totaled $160.9 million.

Motor Vehicle – Tag & Title Fees: Motor Vehicle Tag & Title Fee collections increased by $1 million, or 3.6 percent, over last year, while Title ad Valorem Tax (TAVT) declined nearly $2 million, or -3.3 percent, from the previous fiscal year.