Some cities see sales tax increase in June despite pandemic

Despite initial predictions and lower numbers for the past two months due to the COVID-19 pandemic, two of the three communities in the Golden Triangle showed increases in sales tax revenues for June.

Both Starkville and Columbus showed slight increases, while West Point continued to show a slight decline from the same time in 2019. However, in Starkville the news wasn’t all good, with its 2% hotel tax revenue showing a drastic drop.

According to the numbers for June, which were released in July, the city of Starkville collected $624,046.97 for June 2020, up from $603,984.25 in June 2019 and last month’s figure of $537,899.10. The city’s July 1, 2019 to date revenue was down slightly at $7,264,731.84, compared to $7,385,839.37 for the same time last year.

The main casualty of the pandemic in Starkville appeared to be the 2% Starkvilleoktibbeha tax revenue, which showed a 71% drop from 2019. Collections for June were listed at $9,368.18, compared to $32,407.90 in 2019. The city’s 2% restaurant tax supporting parks and recreation garnered $94,721, and the hotel tax for the same garnered $4,864. The taxes hare in their first year after being approved by voters in the city limits. Money gained

through the tax is used for various parks and recreation projects, most notably, the Cornerstone Park tournament facility.

Starkville’s tourism and convention tax also showed a substantial decrease in June from the year prior, dropping to $138,149 from $178,523 in June 2019.

West Point saw the greatest increase of the three communities, with its June figure coming in at $237,546.63, compared to $195,877.25 at the same point last year. The June figure is also higher than last month’s figure of $212,471.82. To date, the city has collected $2,396,134.47, up from $2,042,623.58 in 2019.

West Point has also shown a decrease in its West Point-clay County special tax, with numbers dropping from to $24,388 from $28,873 last year.

The city of Columbus recorded a very slight drop in revenue over the year with its June figure coming in at $892,395.40. At the same time last year, the city collected $896,472.14. Columbus’ figure for May was $703,143.06.

Like Starkville and West Point, Columbus also saw a decrease in its tourism tax in June, dropping to $169,695. Last year’s June figure for the tax was $211,142.