The City of New Braunfels has announced an overall increase of approximately $684,000 or 20.5% in sales taxes received in July (for the month of May) compared to the same month last year. When the various adjustments to the monthly payment are removed, net May sales tax collections increased by approximately 1.7%. The variance between the two figures is driven entirely by an audit adjustment included in the overall payment of approximately $642,000.
“With the release of the May figures, total sales taxes collections in FY 2022 have increased by 13.1% through the first eight months of the fiscal year,” said Assistant City Manager Jared Werner. “The May collections included a surprisingly large audit adjustment. Audit adjustments are the result of the state comptroller’s office determination that sales taxes were not allocated correctly. Therefore, it is more appropriate to look at the current-to-current collection activity in May. With net growth of 1.7%, the May figures are certainly higher than anticipated given the continued impact of sales tax losses from HD Supply. The May data continues the recent trend that inflation and continued pent up demand for services and commodities are mitigating a large portion of the loss of sales tax revenue from HD Supply.”