Year’s last quarter of sales tax down considerably
By Jan Schultz
The Imperial Republican
As expected, the final quarter of 2014 finished below most of the previous fourth quarters the city of Imperial has been receiving city sales tax income.
Fourth quarter figures for 2014 were about 35 percent below those of the last quarter in 2013. They were also lower than the fourth quarters of 2011 and 2012.
Overall, the fourth quarter (October, November, December) of 2014 showed a total of $103,644.19 that came back to the city from its collection of a 1 percent sales tax.
That figure is after the state removes a 3 percent administrative fee. It also includes the sales taxes paid on motor vehicle purchases, which are still received by the city but are placed in the city street department budget by law.
The last quarter of 2013 brought in a total of $161,474.81 in sales tax income, helped by a big December with $46,559.92, the largest monthly total so far since Imperial started collecting city sales tax in 2009.
The best month of last year’s fourth quarter, as expected, was also December with $38,283.93 received, but also had the largest gap when comparing the fourth quarter months of 2013 and 2014.
City officials have been watchful of the sales tax income since LB96 took effect the first of October. This is the first full quarter in which the effect can be measured.
LB96 removed collection of sales tax when repair or replacement parts are purchased for commercial ag operations.
However, proponents of the law, which passed on a unanimous state legislative vote in the 2014 session, note that its passage would help keep those items purchased locally rather than in adjoining states that had the tax exemption already in place.