The state’s economy continues to rebound from pandemic-related issues, with state sales tax revenue totaling $3.39 billion this month, a 13.5 percent increase over last year.
Oil and natural gas production, along with the hotel occupancy tax segment, led the way for sales made in June and remitted to the Texas Comptroller’s Office this month.
“July state sales tax collections again strongly surpassed both year-ago and pre-pandemic levels, with continued vigorous growth from non-retail sectors,” Comptroller Glenn Hegar said. “The sharpest increase from a year ago was in receipts from oil and gas mining, as the higher crude oil prices of recent months support increased drilling activity, albeit still well below the pre-pandemic pace.”
Hegar also said increased consumer spending was evident in retail trade sectors, “as resurgent consumer spending following the lifting of pandemic-related restrictions and supported by increasing employment, federal income support policies and low interest rates does not appear to have begun to slow.”
Within the retail sector, the highest growth in receipts compared to a year ago were in clothing and clothing accessories businesses, and electronics and appliances.
Compared to July 2019, pre-pandemic, total sales tax collections were up 18.4 percent.
Individual sector tax revenue showed:
>> Motor vehicle sales and rental taxes — $577 million; up 24 percent from July 2020, and up 19 percent from July 2019.
>> Motor fuel taxes — $315 million, up 4 percent from July 2020, and up 1 percent from July 2019.
>> Oil production tax — $377 million, up 102 percent from July 2020, and up 21 percent from July 2019.
>> Natural gas production tax — $187 million, up 408 percent from July 2020, and up 45 percent from July 2019.
>> Hotel occupancy tax — $60 million, up 79 percent from July 2020, and up 4 percent from July 2019.
>> Alcoholic beverage taxes — $132 million, up 20 percent from July 2020, and up 12 percent from July 2019.
