Press Release: December 4, 2018
Monthly Revenue Report Indicates Higher Rate Than Predicted
Arkansas’s tax revenue is growing at a higher rate than experts expected this year.
The state’s November general revenue report from Arkansas’s Department of Finance and Administration shows a gross revenue increase of 7.5 percent compared to last year. That’s an increase of $34.4 million dollars, bringing the total revenue amount to $492.2 million dollars.
The department published a new general revenue report in early November to better predict economic gains and losses for the fiscal year. The gains recorded this month still surpassed the expectations set in the general report.
Michael Pakko, the chief economist for the Arkansas Economic Development Institute says the monthly report is good news.
“What I always like to look at in these reports is what they tell us about what’s happening in the underlying economy, what’s going on in Arkansas’s economy. And I think the pieces of information we can get from this look pretty encouraging,” Pakko said.
According to the report, sales tax collections were up 8 percent compared to last year. Individual income tax collections are also up, this year by 7 percent.
“So those tell us that consumer spending is up and that’s supported by higher incomes. So those are good, encouraging signs of the Arkansas economy,” Pakko said.