Kemp: March Tax Revenues Up 7%; Adjusted YTD Up 0.4%

ATLANTA - The State of Georgia's net tax revenue collections in March totaled $2.5 billion, for an increase of $163.3 million, or 7 percent, compared to March 2024 when net tax collections totaled nearly $2.34 billion. Year-to-date, net tax revenue collections totaled almost $24.04 billion, for an increase of $543.1 million that was driven largely by the collection of the state's motor fuel excise tax, which was suspended by Executive Order for a period of two and a half months during FY 2024. Adjusting for the year-over-year motor fuel tax changes, year-to-date net tax revenue collections for the period ending March 31 were up $82.8 million, or 0.4 percent.

The changes within the following tax categories account for March's overall net tax revenue increase:

Individual Income Tax: Individual Income Tax collections for the month totaled $1.13 billion, for an increase of $131.3 million, or 13.2 percent, compared to last year when net Individual Tax revenue totaled $998.3 million.

The following notable components within Individual Income Tax combine for the net increase:

• Individual Income Tax refunds issued (net of voided checks) increased by $67.3 million or 10.6 percent
• Income Tax Withholding payments increased by $149.7 million, or 10.5 percent, over March FY 2024
• Individual Income Tax Return payments were up by $27.2 million, or 28.5 percent, compared to FY 2024
• All other Individual Tax categories, including Estimated Tax payments, were up a combined $21.7 million

Sales and Use Tax: Gross Sales and Use Tax collections during March totaled $1.44 billion, for an increase of $18.2 million, or 1.3 percent, from FY 2024. Net Sales and Use Tax increased by $61.2 million or 9.7 percent compared to last year when net Sales Tax totaled $630.7 million. The adjusted Sales Tax distribution to local governments totaled almost $728 million, for a decrease of $2.8 million, while Sales Tax refunds fell by $40.2 million, or 66.2 percent.

Corporate Income Tax: Corporate Income Tax collections for March decreased by $29.7 million, or 8.3 percent, compared to March 2024 when net Corporate Tax revenues totaled $356.7 million for the month.

The following notable components within Corporate Income Tax make up the net decrease:

• Corporate Income Tax refunds issued (net of voids) were down $34.2 million or 38.5 percent from FY 2024
• Corporate Income Tax Estimated payments increased by $54.9 million, or 972.4 percent, compared to last year
• Corporate Income Tax Return payments decreased by $70.1 million, or 31.2 percent, from March FY 2024
• All other Corporate Tax payments, including S-Corporation payments, were down a combined $48.6 million

Motor Fuel Taxes: Motor Fuel Tax collections during the month decreased by $2.1 million, or 1.2 percent, from last year when motor fuel tax collections totaled $178.2 million in March.

Motor Vehicle - Tag, Title & Fees: Motor Vehicle Tag & Title Fee collections for the month increased by $7.8 million, or 25.5 percent, while Title ad Valorem Tax (TAVT) collections decreased by $0.3 million or 0.4 percent.