Nevada Sales Tax Looking Good But…
- Sales Tax News
- Mar 30, 2012 | Susan McLain
January sales tax collections in Nevada “…rose 4.8 percent in January over the same month last year, buoyed in part by double digit gains in sales of home furnishings, clothing and accommodations,” according to the Nevada Department of Taxation. This increase continues a 19-month steady growth in sales tax revenues.
Despite the good growth in home furnishings sales, there is still concern for the Nevada construction industry which is “…still struggling to gain footing in the aftermath of the Great Recession and the collapse of the state’s housing market. Construction sales fell in January by 17 percent.”
The top five major industries that grew in sales are:
- Home furnishings – up 10.7 percent
- Car and vehicle parts – up 8.1 percent
- Durable goods – up 8.2 percent
- Food and beverage stores – up 5.9 percent
- General merchandise – up 2.1 percent
In Clark County, “[a]ccommodations there were up 18.2 percent, while sales at bars and restaurants saw a minor gain of 2.9 percent.” Overall in Nevada, the gains were 17.8 percent and 2.4 percent, respectively. Accommodations and bars and restaurants are key indicators of Nevada’s tourism economy.
The collections since the fiscal year began July 1, 2011, have been 3.4 percent above projections “…made last May by the independent Economic Forum that were used to build the state’s current two-year budget.”