BRADENTON, Fla. — Tennessee's revenue collections exceeded estimates in August by 3.7%, according to Finance and Administration Commissioner Larry Martin.
Revenues for the month totaled $870 million, which is $31 million above collections a year ago.
"While we are encouraged by the August numbers, we continue to be concerned about the relatively slow economic recovery in Tennessee," Martin said Sept. 12. "It is important for us to maintain our close controls on state spending and to carefully monitor revenue trends."
In July, the first month of fiscal 2015, the state saw positive growth in revenues, though they were still below what the state had budgeted by $3.2 million.
August collections were $24.4 million more than the budgeted estimate. The general fund was over collected by $22.7 million and the four other funds that share in state tax collections were over collected by $1.7 million.
Sales taxes collected by retailers in grew 6.73% percent in August, the largest month-over-month growth the state has experienced in the past 27 months, Martin said.
"Corporate tax collections grew by 9.25%, but were still slightly under budgeted expectations," he said. "All other taxes, taken as a group, had negative growth of 5.33% but were $6.1 million above the budgeted estimate for August."
Of the major categories, sales taxes totaled $19.2 million for a positive growth rate of 6.73% compared to August 2013.
Franchise and excise taxes combined were $900,000 below the estimate of $35.5 million, even though the growth rate was 9.25% greater than the same month last year.
Gasoline and motor fuel collections were $300,000 above the budgeted estimate of $70.1 million, a month-over-month increase of 4.91%.
Collections in six major categories were down compared to budgeted estimates in August.
Severance taxes were down 13.0%, gross receipts taxes were under 7.08%, motor vehicle fuel taxes were 5.87% under estimate, tobacco tax collections were down 4.35%, interest and dividend income taxes down 4.22%, and franchise and excise taxes were 2.58% under estimates.
Tennessee is one of eight states that do not have a personal income tax.
