The Tennessee Department of Finance and Administration revealed Wednesday the state’s revenues exceeded budgeted estimates for the month of September. September’s total tax revenues were $1.9 billion, which is $321.5 million more than September of last year and $378.1 million more than the budgeted estimate. The total growth rate for the month was 20.28 percent.
On an accrual basis, September is the second month in the 2021-2022 fiscal year.
In a statement, Finance and Administration Commissioner Butch Eley says the revenues benefited from back-to-school shopping, continued stimulus effects, and franchise and excise taxes that appear to reflect growth in corporate profits nationally.
“September revenues outpaced budgeted estimates because of strong tax remittances from sales and use taxes, corporate franchise and excise taxes and privilege taxes,” Eley said. “Sales tax receipts, reflecting August retail sales activity, benefited from back-to-school shopping and continued stimulus effects while franchise and excise taxes, though volatile, appear to reflect growth in corporate profits reported nationally. The sizable privilege tax growth from realty transfer taxes continue to reflect the dynamic real estate market and population growth that is occurring within the state.
For September, general fund revenues exceeded the budgeted estimates in the amount of $362.8 million, and the four other funds that share in state tax revenues were more than the budgeted estimate by $15.3 million.
Sales tax revenues were $144.9 million more than the estimate for September. The September growth rate was 20.40 percent. Year-to-date revenues are 21.08 percent more than this time last year.
The budgeted revenue estimates for 2021-2022 are based on the State Funding Board’s consensus recommendation of November 24, 2020 and adopted by the first session of the 112th General Assembly in April 2021. Also incorporated in the estimates are any changes in revenue enacted during the 2021 session of the General Assembly. These estimates are available on the state’s website.
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Kaitlin Housler is a reporter at The Tennessee Star and The Star News Network. Email tips to [email protected]
Do We The People get a tax reduction, because the State is taking in more than it needs, or do the politicians figure out more ways to squander the extra money?
JRin – I have been asking that very same question for months. We both know the answer. Big state government will find a way to blow the money on some worthless projects.
Old timers have told me that Tennessee was once a fiscally conservative state. I have lived here since 2006 and find that hard to believe because of the out of control spending coming out of Nashville and Sumner County where I reside.
This thread is absolutely on the right track! Conservatism is more than a plus or a minus on the bottom of the balance sheet! The cancer that killed California, Connecticut, Illinois, Massachusetts, and New York is here in Tennessee. I just hasn’t metastasized to a point where the patient dies….yet!
Memphis, Nashville, and to a large extent, Knoxvile, are lost to the Democrats. The only way to stop Democrats from completely taking over the cities and pushing Tennessee Blue, is for our State Legislators to adopt a Statewide Electoral College, much like the Federal Electoral college. This would diminish the power of the cities.
The squandering begins soon, there’s a Special Session to throw money at Ford.