Sales tax collections fall across region

Sales tax collections fell across the Capital Region through the first eight months of the year, likely reflecting the impact the pandemic had on consumer spending.

Albany County, which is the commercial hub of the eightcounty Capital Region, saw collections plunge by nearly $20 million, or 10.1 percent, to $163.8 million from $185.3 million in the first eight months of 2019.

Rensselaer County saw a $3.6 million loss, Saratoga County saw a decline of $4.5 million, and Schenectady County receipts fell by $5.6 million, according to figures from State Comptroller Thomas Dinapoli. Smaller declines were reported in Columbia, Greene, Warren and Washington counties.

Statewide, collections fell 10.9 percent, to $10.36 billion from $11.62 billion in the same eight-month period of 2019.

“Since the pandemic hit, local governments have seen a massive drop in sales tax collections,” Dinapoli said. “This is hurting their bottom lines and many have few options to plug the hole.”

The decline in sales tax revenues is in addition to declines in state income tax receipts as fewer people are working. Personal income tax collections so far this year are running $1.6 billion behind last year’s figure at this point, Dinapoli’s office reported, falling to $21.6 billion in the first eight months compared to $23.2 billion a year earlier.

State and local officials are seeking assistance from the federal government as they deal with the heavy revenue losses brought about by the pandemic.

“Washington needs to stop playing political games and provide financial help,” Dinapoli warned.