State tax receipts last month were better than those for July 2019 due to the ongoing coronavirus pandemic, even if they didn’t surpass expectations.
The Kansas Department of Revenue says tax-only collections for July were almost $500 million ahead of July 2019. The department cited consistent growth in compensating use tax collections and retail sales tax collections, as well as a shift to more online consumer purchases, as reasons for the increase. Not mentioned in a news release was the shift of income tax collections from April to July as a way to offset the widespread financial burden at the start of the COVID-19 pandemic.
All told, Kansas collected almost $400 million more in individual income taxes month-to-month, although that was still $30 million short of estimates. Monthly corporate income tax collections were also better than July 2019 but short of projections.
