City’s Latest Gross Receipts Tax Revenue Distribution Up 6.5% From Last Year
July 3, 2014
Albuquerque- May Gross Receipts Tax revenue for the City increased 6.5% as compared to a year ago. The May GRT revenue showed broad based growth, and most notably, construction GRT revenues reflect almost a 30% increase.
The city is experiencing sustained positive Gross Receipts Tax revenue growth, fiscal year to date through May, with cumulative growth of 3.0%. A total of 17 out of the 23 sectors are experiencing growth. Sectors with the biggest contributing increases are construction, manufacturing, and professional services. The City uses conservative estimates for calculating GRT growth for purposes of the budget, and currently estimates a 2.5 growth rate for the fiscal year ending June 30. These monies make up 63% of the City’s resources within the general fund and are also a broad indicator of local economic activity.
“This robust increase in gross receipts tax revenues is a particularly encouraging indicator, and the overall numbers indicate an expression of the fact that consumers and prospective business owners alike have improved confidence in the health of our local economy and business climate. If we remain focused on creating a business environment that encourages entrepreneurism and job growth, we will continue to see progress,” said Mayor Berry. ”