WM tax revenues continue roler-coaster year

WM tax revenues continue roler-coaster year

Southland, A& P revenues still up over 2016 figures

news@theeveningtimes.com

Teeter-totter tax collections were reported in West Memphis through the end of May. The see-saw action put tourism and gaming collections up for the year to date while retail sales taxes were down year to date. But the month of May showed city sales taxes on the rise.

City tax collections from Southland Gaming and Racing were $275,950 in May, a $10,715.65 increase over the same month last year. The monthly performance was up four percent.

Year-to-date Southland has sent $86,894 more to city coffers than in 2016, up 6.61 percent. Total city revenue from Southland so far is $1.4 million, half-way to the projected annual city budget number of $2.8 million.

The latest tourism tax report reflected results through April. The Advertising and Promotion Tax collects from 51 restaurants and 19 hotels in the city.

The A& P collection has been an up-and-down ride this year, too, but overall revenue was up for the month by $16,108, a 12.82 percent increase. But A& P collections are off by three percent from last year, $15,003 in the hole, and down $9,009 from year to date budget hopes.

However, things are looking up for A& P tax growth with two new hotels in the works. A four story Tru Hotel by Hilton was approved by city planning for the 1800 block of South Service Road and a new La Quinta breaks ground behind Cracker Barrel in June 5.

“Finances are much better than they were two months ago,” said Convention and Visitors Bureau Executive Director Jim Jackson. “The A& P tax is up substantially, but I don’t know how that compares to city sales tax.

We have new properties in the works, that certainly can’t hurt.”

Slow city sales tax receipts in comparison to the strength of county collections still have city administration scratching their heads.

“I wish we could figure it out,” said City Treasurer Frank Martin.

Martin thinks some businesses may have received a substantial tax credit, slowing the revenue stream in the city. The state holds credit status as confidential information.

The city rebounded with the first monthly sales tax increase of 2017. City sales tax was $614,157 in May against $583,151 same month last year, netting a

5.32 percent boost for the city. But the city still lags behind last year off 4.61 percent, short $137,733.

By John Rech