Peach Tree Times

Georgia saw a major increase in taxes collected in June as the economy recovers from the COVID-19 pandemic. 

Net tax collections in June 2021 totaled $2.50 billion for an increase of $563.1 million, or 29.1 percent, compared to June 2020, according to a Department of Revenue press release. 

In June of 2020, net tax collections totaled nearly $1.94 billion.

For the year that ended on June 30, 2021, net tax collections totaled almost $26.90 billion for an increase approaching $3.20 billion, or 13.5 percent, compared to fiscal year 2020, the release said. 

When it comes to new individual income tax collections for June, that totaled about $1.30 billion, for an increase of $256.8 million, or 24.7 percent, compared to FY 2020 when net individual tax revenues totaled nearly $1.04 billion, the press release said. 

Sales tax also saw an increase in Georgia most likely tied to more people shopping and spending as COVID-19 pandemic restrictions are lifted. 

"Thanks to our work alongside the General Assembly to budget conservatively and protect both lives and livelihoods throughout a global pandemic, Georgia remains on solid financial footing. The COVID-19 crisis highlighted the importance of states living within their means, and Georgia did so without widespread layoffs, tax hikes, furloughs or drastic cuts to essential services," Gov. Brian Kemp said, as reported by Center Square.

Gross sales and use tax collections increased by roughly $248.9 million, or 23.9 percent, to a total of almost $1.29 billion in FY 21, the release said. Net sales and use tax increased by $127.4 million, or 24.6 percent, compared to last year’s total of $517.5 million and sales tax distribution to local governments totaled roughly $629.6 million for an increase of $115.9 million, or 22.6 percent, while sales tax refunds increased by $5.6 million from FY 2020, the release said. 

Corporate income tax saw an increase as well, with net corporate income tax collections for the month totaling $325.8 million, an increase of $227.5 million, or 231.6 percent, over last year when net corporate tax revenues totaled $98.3 million, the release said. 

There was a decline in taxes, however, when looking at motor fuel. 

These motor fuel tax collections were down $82.8 million, or -59.2 percent, compared to last year, when motor fuel tax collections totaled nearly $140 million, the release said.