Claremore Daily Progress

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February 5, 2014

State’s receipts set new highs

OKLAHOMA CITY —

Oklahoma’s economy, as reflected in monthly gross receipts to the treasury, set new highs in January, State Treasurer Ken Miller said today.
Miller said three components of gross receipts entered new territory during the first month of 2014: Record highs were set for sales tax collections and personal income tax withholding payments; and for gross receipts in a January, a new high was set.
“Oklahomans earned and spent at record levels during the past month,” he said. “Also, total receipts last month brought in more than in any other January, indicating healthy performance of the state economy.”
January sales tax collections, from purchases made between mid-December and mid-January, generated $378.33 million – up by $13.04 million or 3.6 percent from last January. The previous high was set last July with $369.22 million.
Personal income tax withholding payments of $280.29 million xq the previous record set a year ago in January by $12.28 million or 4.6 percent. Withholding payments are remitted by employers from funds withheld from workers’ paychecks and are a key component of total personal income tax payments.
Total gross collections in January were $1.07 billion, topping the previous January high set last year by $59.32 million or 5.9 percent.
“The Oklahoma economy continues its expansion at the beginning of the year,” Miller said. “Relatively steady growth in gross collections has become the norm over the past few years, such that it has become somewhat expected. But as we have seen, that doesn’t necessarily translate to the General Revenue Fund.”
Miller noted that the record collections are an indicator of the strength of Oklahoma’s economic output and are not the result of revenue raising measures. In fact, taxes have been cut over the past several years.
Collections from the past 12 months total $11.5 billion and are $405.04 million or 3.6 percent higher than during the prior 12 months.
Oklahoma’s December unemployment rate is set at 5.4 percent. That compares to a national rate of 6.7 percent. From November, employment increased by 5,850 jobs, while unemployment dropped by 740 people.

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