Tuesday, February 5, 2013

Tuesday, February 5, 2013

Tax Revenue Looking Up

A report from City Controller Alan Butkovitz's office this morning says the city's tax revenue are increasing, thanks to strong wage, earnings and sales tax collections.

Tax Revenue Looking Up

POSTED: Wednesday, January 23, 2013, 12:15 PM

A report from City Controller Alan Butkovitz's office this morning says the city's tax revenue are increasing, thanks to strong wage, earnings and sales tax collections.

The news comes the day before Council returns to session, and about two months from Mayor Nutter's budget address.

Here's the full text of the Controller's news release:

City Controller Alan Butkovitz today released his latest monthly economic report that indicates City General Fund tax collections for the first half of the fiscal year totaled $922 million, a $44 million increase over the same period last year.

The five percent year-over-year increase in higher tax revenues is due in part to the strong pace of collections for wage, earnings and net profits and sales tax revenues. In the first six months of the current fiscal year, collections for both the City and PICA portion from wage, net profits and earnings taxes totaled $771 million, a four percent increase over last year.

Yearly sales tax revenues totaled almost $128 million, which was also a four percent increase over last year’s collections. Overall, more than half of the city’s total tax categories were either at or above last year’s collection amounts.

Along with highlighting tax collections, the Controller’s economic report includes an analysis of the rise in food stamp eligibility in Philadelphia. From November 2008 to November 2012, those eligible for food stamps in Philadelphia increased from 348,545 to 477,878, a 37 percent increase.

Although Philadelphia realized a significant increase in food stamp usage over the last four years, it was not as high as its neighboring counties. Montgomery and Chester counties realized an almost 98 percent increase, while Bucks County had an 80 percent increase. Delaware County had a 50 percent increase.

Currently 31 percent of Philadelphia’s population is eligible for food stamps, compared to 18 percent in 2003. Over the last five years, the largest one-year increase in total persons eligible for food stamps occurred between 2008 and 2009.

The Controller’s economic report is compiled on a monthly basis and includes an Economic Snapshot and Forecast, as well as real estate information and other local statistics. These reports are circulated every month to assist key decision makers in understanding and anticipating local and national economic trends. The Controller’s economic report is a useful tool for policy makers and analysts in understanding our regional and local economy.

To view the Economic Forecast and Monthly Snapshot, please visit the City Controller’s Web site at www.philadelphiacontroller.org

Click here for Philly.com's politics page.

Troy Graham @troyjgraham @ 12:15 PM Permalink | 17 comments

Comments (17)

Comment removed.

0 like this / 0 don't • Posted 1:29 PM, 01/23/2013

And just wait until the people who DO pay their Real Estate Taxes send their checks to the City. The City then will have almost enough to pay the bills. That way we don't need the money from those who refuse to pay Real Estate Taxes. Way to go Mayor Nutter and City Council.

— tlee

0 like this / 0 don't • Posted 1:36 PM, 01/23/2013

When can we expect a reduction in property taxes? Just kidding. Keep voting Democrat!!

— LouDiamondPhillipsheadScrewdriver

0 like this / 0 don't • Posted 1:52 PM, 01/23/2013

and numb nut still needs to triple our property taxes through so-called AVI?

— hannibal barca

0 like this / 0 don't • Posted 2:00 PM, 01/23/2013

PHL, WILL ALWAYS BE BROKE. TOO MANY OLD SCHOOL BACK ROOM DEALS & OF COURSE, MOST OF NORF PHILLY & W. PHILLY PAY NO REAL ESTATE TAXES. LOOK FOR YOURSELF. NOT BEING RACIST.

— CHARLES MANSON

0 like this / 0 don't • Posted 2:04 PM, 01/23/2013

Remember that the 8% sales tax rate is supposed to drop to 7% next year. I wonder if that will actually happen.

— Moe_Syzlak

0 like this / 0 don't • Posted 2:11 PM, 01/23/2013

The Mayor will trumpet the increase in tax collection but will totally ignore the fact that those families in need of food stamps has also increased. There is no real job growth in Philadelphia.

— Mezike23

0 like this / 0 don't • Posted 2:47 PM, 01/23/2013

The sad fact is that the "new normal" is that the Federal Government is turning into the defacto provider of income for families, Unemployment unparalleled and soon to eclipse the period of after the CRASH. I do not understand why the citizens continue to allow the destruction of country. I understand it in Philly because of the non-educated masses but that is not country wide. It is a Urban thing. And the urbanites don't seem to care.

— SPENDSPEND

0 like this / 0 don't • Posted 3:21 PM, 01/23/2013

If you cut out the far northeast, center city and parts of manayunk and east falls, it seems over 50% of the remaining population is eligible for food stamps. The tax revenue may have gone up in dollar amount, but what should be looked at is percentage of growth vs. percentage of drain. The drain is winning.

— Santa Satan

0 like this / 0 don't • Posted 3:28 PM, 01/23/2013

Well when you keep raising taxes you are bound to bring in more.

— superturtle

0 like this / 0 don't • Posted 3:31 PM, 01/23/2013

Does this mean all those "temporary" real estate taxes will be rolled back now?

— Taxpaying Voter

0 like this / 0 don't • Posted 3:46 PM, 01/23/2013

Remember that the 8% sales tax rate is supposed to drop to 7% next year. I wonder if that will actually happen.
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I'm glad i work in Delaware as I have already shifted all purchases over $50 to here and I don't plan on coming back. But they still get me on that freaking wage tax and soon the AVI hike.

— flyers2thecup

0 like this / 0 don't • Posted 4:02 PM, 01/23/2013

time to move. a 1% change in the sales tax is a drop in the bucket compared to a trebling of the property tax and 4% wage tax

— hannibal barca

0 like this / 0 don't • Posted 4:11 PM, 01/23/2013

The city elected officials have lost all credibility. They simply lie. 3 different temporary RE tax hikes and the sales tax increase. The people that do not pay their RE tax are the biggest drain on the city and yet it is just easier to raise the taxes on those that pay and let the others slide. This one party town is the pits. Wake up people. Vote them oUT of office or be prepared for yearly temporary taxes with no expiration date. If food stamp use went up and I can`t imagine that is good for increasing taxes.

— patty b