Renewed Oil Patch Raises Texas Sales Tax Revenue Over 60%: Hegar

February 2, 2018

 

Oil and natural gas production tax revenue jumped more than 60% in January, sales tax figures released Friday by the state comptroller reveal.

While some tax income across many sectors jumped by single digits, the renewed vigor of the oil and gas sector stood out.

Production tax income jumped to $407 million during January, a 63.9% rise from January 2017, according to Texas Comptroller Glenn Hegar.

Sales tax revenue is the largest source of state funding for the budget, accounting for 58% of all tax collections.

Total sales tax revenue, at $2.67 billion, was up 9.1% over the previous January, and revenue for the three months ending in January 2018 was up 10.8% year-over-year.

Motor fuel taxes brought in $304.6 million, up 3% from January 2017; motor vehicle sales and rental taxes yielded $427.7 million, up 5.15 from January 2017.

“Growth in sales tax revenue occurred across all major economic sectors,” Hegar said.

“The strong growth in revenue was led by collections from the mining, construction and wholesale trade sectors. The manufacturing, retail trade and restaurant sectors also saw strong gains.”