Staff Reports
Georgia’s net tax collections in September saw a nice bump, coming in at nearly $3.3 billion, which is a 6.4% increase compared to last year. That’s a whole lotta moolah! The collections were also about $199.1 million higher than last year, showing that Georgia is rakin’ in the dough. But hold your horses, folks. When you take out the motor fuel tax revenues and local sales tax distribution adjustments, net tax collections actually decreased by 3.2%. Ouch! Guess those fuel tax revenues really do make a difference.
Now, let’s talk about the bigger picture. Over the first three months of this fiscal year, total revenues were up by a whopping 6.1%, which translates to a cool $463 million increase. State officials are patting themselves on the back for this achievement, and they’re saying it’s all thanks to reinstating the motor fuel tax. Well, bravo, folks! You managed to boost revenues by bringing back a tax. Who woulda thought?
But wait, there’s more! Last month, Georgia’s very own Gov. Brian Kemp, a proud Republican, declared a state of emergency and suspended the state’s excise tax on motor and locomotive fuel. And wouldn’t you know it, he extended that suspension until November 11. Way to go, Governor! Now, those revenue hits are gonna start showing up in the next month’s numbers. Buckle up, folks. It’s gonna be a bumpy ride.
Georgia's net tax collections during September totaled nearly $3.3 billion, an increase of 6.4% from a year ago. The collections were nearly $199.1 million higher than last year. https://t.co/0F8VUr5V9A
— The Center Square (@thecentersquare) October 17, 2023
Okay, let’s get serious for a moment. Revenues for the first three months of this fiscal year, excluding the motor fuels tax and local sales tax distribution adjustments, were down 1.3% compared to last year. It’s not a huge drop, but it’s still somethin’ to take note of. Luckily, we’ve got some responsible budgeters in the General Assembly and Governor Kemp, who’ve been keepin’ spending increases modest. They saw this comin’ and made sure the budget could withstand a harder fall. Good on ya, folks! You’re makin’ conservatism proud.
Not everyone is happy with the current situation, though. The Georgia Budget and Policy Institute’s Senior Fiscal Analyst, Danny Kanso, thinks we’ve got plenty of money to spare. He says we’ve got over $10.7 billion in “undesignated reserves” by the end of the 2023 fiscal year. Wowza! With all that dough, Kanso believes Georgia can make some historic investments and address urgent needs. But hold your horses, Danny. Let’s not go spendin’ our money like it’s goin’ out of style. We need to be smart about it and stick to a fiscally responsible approach. Let’s think long-term, folks, and make sure our state’s future stays bright and conservative.
