Arkansas begins fiscal year with 10. 6% gain in sales tax revenue - Talk Business & Politics
Revenue gains during July from sales taxes and corporate income taxes helped boost total Arkansas tax revenue almost 6% to begin the fiscal year. Revenue in the previous fiscal year. . .
Revenue gains during July from sales taxes and corporate income taxes helped boost total Arkansas tax revenue almost 6% to begin the fiscal year. Revenue in the previous fiscal year (July 2025-June 2026) was up 3. 9%. Arkansas began the new fiscal year with July tax revenue of $673. 6 million, up 5. 8% compared with $636. 8 million in July 2025, according to Tuesday’s (Aug. 4) report from the Arkansas Department of Finance and Administration (DFA). The revenue was 4. 4% above the budget estimate. Individual income tax revenue in July totaled $251. 1 million, down 3. 4% compared with $259. 9 million in July 2025. The revenue was 0. 7% above the budget estimate. “The decrease from last year results from the disaster executive order issued in April 2025 shifted some collections from April to July 2025,” the DFA noted in its report. “July 2026 results do not include this revenue shift and are in line with historical norms. ”Sales tax revenue in July was $331 million, up 10. 6% compared with July 2025, and 4. 1% above the budget estimate. Revenue from corporate income taxes totaled $27. 6 million in July, up $3. 4 million compared with July 2025 and $3. 3 million above the budget estimate. “Strong growth was recorded in most major reporting sectors,” the DFA noted about sales tax revenue. “Utilities rose 19. 9%, likely benefiting from higher temperatures in late spring. Wholesale and Retail Trade were up $4. 6 million and $7 million, respectively. Accommodation and Food Services had modest growth at 0. 8%. ”Arkansas tax revenue ended the previous fiscal year (July 2025-June 2026) with a $655 million surplus. It was the fifth largest surplus in state history, and is up 78% compared with the $367. 9 million surplus in the previous fiscal year. Total revenue in the fiscal year was $8. 686 billion, up 3. 9%, or $327 million, compared with the same period in the previous fiscal year. The fiscal year ending in June 2024 posted a $698. 4 million surplus, and the fiscal year ending June 2023 had a $1. 161 billion tax revenue surplus. OTHER REVENUE SOURCESTobaccoJuly 2026: $17. 3 millionJuly 2025: $14. 9 millionAlcoholic beveragesJuly 2026: $8. 2 millionJuly 2025: $7. 4 millionGames of skillJuly 2026: $6. 5 millionJuly 2025: $7 millionSeveranceJuly 2026: $1. 6 millionJuly 2025: $1. 5 millionRelated