BOSTON (AP) — Massachusetts tax collections totaled $3.99 billion in September.
That’s $848 million or 27% more than the actual tax collections in September 2020 — and $501 million or 14.3% more than predictions for the month.
Year-to-date collections for the 2022 fiscal year totaled approximately $8.75 billion, which is $1.5 billion or 20.7% more than collections in the same period during the 2021 fiscal year, and $525 million or 6.4% more than year-to-date predictions.
“September collections increased in all major tax types relative to September 2020 collections, including withholding, non-withholding, sales and use tax, corporate and business tax,” Revenue Commissioner Geoffrey Snyder said in a press release Tuesday.
“The increase in withholding is likely related to improvements in labor market conditions while the increase in non-withholding tax collections is due to an increase in income estimated payments. The sales and use tax increase reflects continued strength in retail sales and the easing of COVID-19 restrictions,” he added.
In general, September is a significant month for revenues because many individuals and corporations are required to make estimated payments. Historically, roughly 10% of annual revenue, on average, has been received during September.
Given the brief period covered in the report, September and year-to-date results should not be used as a predictor for the rest of the fiscal year, Snyder said.
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