Oklahoma Treasurer Ken Miller announced Tuesday that March gross receipts for the state grew 7.4 percent compared to a year ago marking 12 straight months of an increase in revenues. Tax revenue on oil and gas played a role in the growth.
Miller indicated gross production taxes on oil and natural gas brought in $72.8 million in March, a 52 percent increase totaling another $24.9 million compared to a year ago. Compared to February, the collections increased $6 million or 9 percent.
Oil and gas gross production tax collections brought in $618.7 million during the 12 months, up by $227.2 million, or 58 percent, from the previous period.
Motor vehicle taxes produced $74.3 million, up by $6 million, or 8.8 percent, from the same month of 2017.
However, for the first time since February of last year, monthly individual income tax collections dropped from the previous year. The February collections fell $6.2 million or 2.2 percent. The tax commission explains the decline is due to the difference in the timing of income tax withholding deadlines with one less payment required this March compared to March 2017.
“The state’s economic fundamentals continue to appear strong,” said Miller. “Growth persists with most major revenue sources; unemployment remains low, and commodity prices continue to show strength.”
March gross receipts show increases in collections from sales and gross production taxes. In addition to individual income taxes, corporate income taxes are also down for the month, as has frequently been the case. Total receipts for March are up by $67.9 million.
Collections from the past 12 months compared to the previous period show growth in every major revenue stream. Total 12-month collections are up by more than $1 billion, or 9.5 percent.
The tax commission attributes $33.6 million in March to new revenue resulting from legislation enacted during 2017. The additional revenue comes primarily from changes in sales tax exemptions and gross production tax incentives.
The new revenue accounts for 3.4 percent of March gross receipts. Out of $7.8 billion in gross collections since last August, $206.2 million, or 2.7 percent, has resulted from law changes from last year.
March gross collections total $982.9 million, up $67.9 million, or 7.4 percent, from March 2017.
Gross income tax collections, a combination of individual and corporate income taxes, generated $323.5 million, a decrease of $11.1 million, or 3.3 percent, from the previous March.
Individual income tax collections for the month are $299.9 million, down by $6.6 million, or 2.2 percent, from the prior year. Corporate collections are $23.6 million, a decrease of $4.5 million, or 16 percent.
Sales tax collections, including remittances on behalf of cities and counties, total $368.9 million in March. That is $33.7 million, or 10 percent, more than March 2017.
Other collections, consisting of about 60 different sources including use taxes, along with taxes on fuel, tobacco, and alcoholic beverages, produced $143.4 million during the month. That is $14.4 million, or 11.2 percent, more than last March.
Gross revenue totals $11.8 billion from the past 12 months. That is $1.02 billion, or 9.5 percent, more than collections from the previous 12 months.
Gross income taxes generated $4.1 billion for the period, reflecting an increase of $234.1 million, or 6 percent, from the prior 12 months.
Individual income tax collections total $3.7 billion, up by $203.1 million, or 5.8 percent, from the prior 12 months. Corporate collections are $415.3 million for the period, an increase of $30.9 million, or 8.1 percent, over the previous period.
Sales taxes for the 12 months generated $4.5 billion, an increase of $375 million, or 9 percent, from the prior period.
Other sources generated $1.7 billion, up by $164.2 million, or 10.5 percent, from the previous year.
The Office of the State Treasurer has issued the monthly Gross Receipts to the Treasury report since March 2011 to provide a timely and broad view of the state’s macro economy.
It is released in conjunction with the General Revenue Fund allocation report from the Office of Management and Enterprise Services, which provides important information to state agencies for budgetary planning purposes.
The General Revenue Fund receives less than half of the state’s gross receipts with the remainder paid in rebates and refunds, remitted to cities and counties, and placed into off-the-top earmarks to other state funds.