Local Government Snapshot

N E W YO R K S TAT E O F F I C E O F T H E S TAT E CO M P T R O L L E R
Thomas P. DiNapoli • State Comptroller
August 2013

Local Sales Tax Collections Up 5.7 Percent in First Half of 2013; Growth Concentrated Downstate
Local sales tax collections grew by $397 million, or 5.7 percent, for the first half of 2013 compared to the same period in 2012. Year-over-year growth was 5.5 percent in the first quarter of 2013 and 5.9 percent in the second quarter. Statewide local sales tax collections were stronger in the first half of 2013 than at any point in 2012. Growth was concentrated in the downstate regions of the State. Collections in the Long Island region grew by 8.5 percent, the fastest in the State. Collections in New York City grew by 7.5 percent. Some of this rapid sales tax growth is due to rebuilding efforts after the devastation of Superstorm Sandy in October of 2012. Upstate sales tax collection growth was considerably slower. While some of the short-term variation in sales tax growth comes from technical adjustments in the distribution of local sales tax collections, the overall pattern may indicate slowing growth in the upstate economy. In the Southern Tier region, collections actually declined by 3.3 percent. Part of this decline may be due to the effect of Hurricanes Irene and Lee inflating 2012 sales tax collections in the region.

Quarterly Change in Local Sales Tax Collections 2011-2013
6%
Percentage Change Year-Over-Year

5% 4% 3% 2% 1% 0%

5.3%

5.1% 4.1%

5.5% 4.2% 3.5% 3.3% 2.3%

5.5%

5.9%

Q1

Q2

Q3

Q4

Q1

Q2

Q3

Q4

Q1

Q2

2011

2012

2013

Source: New York State Department of Taxation and Finance; additional calculations by the Office of the State Comptroller. Numbers not adjusted for tax rate or tax law changes.

Change in Local Sales Tax Collections by Region First Half 2012 to First Half 2013
10%
8.5%

Percentage Change Year-Over-Year

8% 6% 4% 2%
0% -2% -4%
1.2% 2.3%
3.0%

7.5%

4.4%
1.4%

1.2%

1.1%

-3.3% Capital Central Finger Mohawk North Southern Western Long Mid- New District NY Lakes Valley Country Tier NY Island Hudson York City

Upstate

Downstate

Source: New York State Department of Taxation and Finance; additional calculations by the Office of the State Comptroller. Numbers not adjusted for tax rate or tax law changes. Includes only county and New York City sales tax collections.

Division of Local Government and School Accountability

Local Government Snapshot
Several downstate counties experienced particularly strong county sales tax growth during the first half of 2013, boosted by storm clean up, including Nassau County (11.0 percent), Rockland County (9.3 percent), and Suffolk County (6.2 percent). Some upstate counties also had strong growth, including Genesee County (8.5 percent), Niagara County (7.8 percent), and Essex County (6.6 percent). The counties with the sharpest declines in sales tax collections in the first half of 2013 were concentrated in the Southern Tier region, with Chemung County experiencing the largest decline (6.4 percent).

Growth in Salesfrom TaxFirst Collections Change in Sales Tax Collections Half 2012 tofrom First Half 2013 First Half 2012 to First Half 2013

Percentage Change
Decline more than 3 percent Decline less than 3 percent Increase less than 3 percent Increase between 3 and 6 percent Increase more than 6 percent
Source: New York State Department of Taxation and Finance; additional calculation by the Office of the State Comptroller; data include county collections and New York City only.

Source: New York State Department of Taxation and Finance; additional calculation by the Office of the State Comptroller; data include county collections and New York City only.

New York State Office of the State Comptroller
Division of Local Government and School Accountability 110 State Street, 12th Floor • Albany, New York 12236

w w w. o s c . s t a t e . n y. u s

August 2013

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