Nassau County sales tax revenues less than budgeted for

Joe Nikic

While revenue generated by sales taxes in Nassau County increased by 1.4 percent, the county still generated less money than budgeted for in 2015.

According to a February report from the office of state Comptroller Thomas DiNapoli, the county collected $1,105,068,853 in sales tax revenue, up by slightly more than $13 million from what was collected in 2014.

Nassau officials said their 2015 sales tax revenue was $39.5 million less than what was adopted in the budget, according to Newsday.

The county cited straggling economic growth, out-of-state online shopping, drops in gasoline prices and minor wage increases as reasons for the poor performance, Newsday said.

In DiNapoli’s report, his office said the county’s sales tax revenue following Superstorm Sandy in October 2012 was higher than usual due to the purchase of materials for reconstructive efforts.

The report also said in the second year after Superstorm Sandy, the county’s sales tax collections were lower than anticipated, which may have been caused by minimal income growth by shoppers.

“Nassau County’s collections were very weak in the second year after the storm,” the report said. “Some normalization would be expected as sales returned to normal after rebuilding purchases slowed, but the prolonged period of declining sales tax revenues was amplified by other economic factors, such as weak consumer income growth.”

In comparison, Suffolk County’s sales tax revenues increased by 0.9 percent, leaving the county $30 million short in what was budgeted for in 2015.

New York City’s sales tax collections grew the most of any city or county in the state at 7.3 percent.

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