Sales tax collections spiked 9% in October, resulting in a $1 million budget surplus in the first month of the 2020 fiscal year.
In October, the city collected $5,844,426.24 in sales tax revenue, a growth of more than $483,000 compared to October 2018. October collections reflect sales made in September.
The $5.8 million figure topped city officials’ budgeted amount of $4.8 million and continues a recent hot streak for the local economy. Dothan has registered sales tax gains of at least 7.4% in 11 of the past 13 months.
Automotive sales revenue also rose significantly, topping $209,000. That figure bested the previous October’s numbers by 4.1%.
Though small in terms of actual money, farm/agriculture and machines and manufacturing taxes fell sharply by 16.6% and 26.8% respectively.
Lodging tax collections rose by 29.5% in October, topping $293,000. The figure almost matched October 2017’s collections, which was buoyed by a mass evacuation of central and southern Florida ahead of Hurricane Irma.
Hurricane Michael significantly increased lodging tax collections for several months, beginning in November 2018.
Last month’s lodging collections surpassed official budget projections by about $113,000.