HYANNIS – The Massachusetts Department of Revenue recently announced that preliminary revenue collection for October 2021 stands at nearly $ 2.5 billion, a substantial increase from recent years.
According to DOR Commissioner Geoffrey Snyder, the total of $ 2.445 billion is $ 356 million or 17% more than the actual collection in October 2020, and $ 197 million or 8.7% more than the baseline.
Year-to-date collections totaled approximately $ 11.197 billion, which is $ 1.858 billion or 19.9% more than collections for the same period in fiscal 2021, and $ 723 million or 6.9% above benchmark year-to-date.
“October 2021 revenue increased in all major tax types compared to October 2020 collections, including withholding, non-withholding, sales and use tax, corporate and business tax and “all other taxes”, ”Snyder said.
According to the DOR, some of the gains may have resulted from the reduction in COVID restrictions in recent months.
“The increase in withholding taxes is likely related to improving labor market conditions, while the increase in non-withholding tax collections is due to an increase in tax return payments. The sales and use tax reflects, in part, the continued strength of retail sales and the relaxation of restrictions related to COVID-19. The increase in “all other taxes” is mainly due to inheritance tax, a category that tends to fluctuate, ”Snyder said.
October is generally one of the weakest months for revenue collection with an average of around 6.5% of annual revenue.
Despite the recent increase, the DOR said the results should not be taken as indicative for the remainder of the year.
By, Matthew Tomlinson, CapeCod.com NewsCenter