Arkansas tax revenue in first fiscal quarter down 2.6%

KUAR | By Talk Business & Politics Staff

Arkansas’ fiscal year-to-date (July 2024-September 2024) tax revenue is down 2.6% compared with the same period in the previous fiscal year. September collections were down 2.3% with the decline primarily from lower sales and use and corporate tax receipts.

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Total revenue in the fiscal quarter was $2.003 billion, down 2.6% compared with the same period in the previous fiscal year, but 1% above the budget forecast, the Arkansas Department of Finance and Administration (DFA) reported Wednesday (Oct. 2).

Income tax revenue in the first fiscal quarter was $851.4 million, down 3.5% compared with the same period in the previous fiscal year and 3.9% above the forecast. Sales tax revenue in the quarter was $876.4 million, up 0.6% compared with the same period in the previous fiscal year and 0.6% below the forecast. Corporate income tax collections totaled $129.3 million, $31.3 million below the same period in the previous fiscal year and 6% below the forecast.

Arkansas tax revenue in first fiscal quarter down 2.6%

Arkansas ends fiscal year with tax revenue surplus just under $700 million

by Talk Business & Politics staff (staff2@talkbusiness.net)

Arkansas tax revenue totaled more than $8.7 billion in the fiscal year ending June 30, with the Arkansas Department of Finance and Administration (DFA) reporting Tuesday (July 2) an annual revenue surplus of $698.4 million.

Total revenue in the fiscal year (July 2023-June 2024) was $8.708 billion, down 1.6% compared with the previous fiscal year and  0.2% below the forecast.

“The year-over-year decline in net available and gross general revenues is primarily attributed to the expected effects of income tax cuts passed in 2023,” the DFA noted in the report.

Arkansas ends fiscal year with tax revenue surplus just under $700 million

Weekly Update from State Representative DeAnn Vaught

This week, the Arkansas Legislative Council and the council subcommittees convened at the Capitol.

The council approved the permanent payment rules for Educational Freedom Accounts. Educational Freedom Accounts may be used by eligible families to cover private school tuition, fees, uniforms, and some other required expenses. First-time kindergarteners, students enrolled in “D” or “F” rated schools, students with a disability, current or former foster care students, students experiencing homelessness, or students whose parents are active-duty military, veterans, law enforcement or first responders will be eligible to use the accounts in the 2024-2025 school year. All public school students will be eligible in the 2025-2026 school year.

The council also approved an emergency rule from the Department of Finance and Administration that requires Arkansans to list their gender on their driver’s license.  The rule states the gender must match what is listed on the person’s birth certificate, passport, or identification document from the U.S. Department of Homeland Security.

The ALC Game and Fish/State Police Subcommittee continued its study on possession and open-carry laws concerning firearms this week. The subcommittee will begin hearing recommendations regarding these laws at its next meeting on Monday, March 25. The meetings are open to the public. You can find the agenda and a link to sign up to comment atwww.arkleg.state.ar.us.

The latest revenue report presented to the council shows gross general revenues have decreased by $113 million or 2% below what was collected last year. Meanwhile, unemployment in the state remains steady at 3.7% in Arkansas for the third consecutive month.

As a reminder, the legislature will convene for a Fiscal Session on April 10. We will continue to update you on the latest developments from the Capitol.

Arkansas will start distributing $1M grant to pregnancy resource centers in January

KUAR | By Tess Vrbin / Arkansas Advocate

Arkansas lawmakers on Friday allowed the state Department of Finance and Administration to administer a taxpayer-funded $1 million program to provide funds to pregnancy resource centers, which are often religiously affiliated and discourage abortion while encouraging birth.

The department will start distributing the money in January, spokesman Scott Hardin said in an email.

Arkansas has more than 40 of these centers, often called “crisis pregnancy centers.” They operate independently but form a community, the Arkansas Pregnancy Network, due to their shared missions and similar services, Maria Speer, executive director of the Life Choices center in Conway, told lawmakers in August.

The Legislature passed a law in April to create the grant for the second year in a row. The first year of the grant resulted in 23 pregnancy resource centers, adoption agencies and maternity homes receiving portions of the reserved $1 million between September 2022 and January 2023.

Arkansas will start distributing $1M grant to pregnancy resource centers in January

John Sykes/Arkansas Advocate

Money for Arkansas pregnancy resource centers will begin distribution in January.

Medical marijuana sales up 4.6% for the year, prices becoming ‘more competitive’

by Michael Tilley (mtilley@talkbusiness.net)

Arkansas’ medical marijuana sales totaled $164.6 million in the first seven months of 2023, up 4.64% compared with the same period in 2022, according to the Arkansas Department of Finance and Administration (DFA). Sales are on track to top the 2022 record of $276.3 million.

Licensed patients spent $23.2 million in July to buy 5,157 pounds of medical marijuana in the state’s 38 licensed dispensaries. The July sales were down compared to $23.3 million in July 2022, but the July 2022 sales were for 4,171 pounds.

According to the DFA report issued Monday (Aug. 28), Suite 443 in Hot Springs had the most sales with 551 pounds. Following are the top five dispensaries for pounds sold in July.
• Suite 443 (Hot Springs): 551.66 pounds
• Natural Relief Dispensary (Sherwood): 462.07 pounds
• High Bank Cannabis (Pine Bluff): 282.59 pounds
• CROP (Jonesboro): 279.69 pounds
• The Releaf Center (Bentonville): 274.22 pounds

https://talkbusiness.net/2023/08/medical-marijuana-sales-up-4-6-for-the-year-prices-becoming-more-competitive/

Arkansas medical marijuana spending spikes on April 20; sales up 5.1%

by Michael Tilley (mtilley@talkbusiness.net)

Average per day spending on medical marijuana in Arkansas is $787,000, but that tally toked higher to more than $2 million on April 20, a date – 4/20 – associated with the celebration of marijuana use.

Data from the Arkansas Department of Finance and Administration (DFA) also show that licensed medical marijuana patients in the state spent $94.44 million for 18,847 pounds of medical marijuana, above the $89.835 million for 15,768 pounds in the same period of 2022. The sales total was up 5.1%, and the amount sold was up 19.5%.

The Arkansas Department of Health reports 94,282 active patient cards as of May 30, above the 93,977 active patient cards as of April 21, and up from 89,855 at the end of 2022.

https://talkbusiness.net/2023/05/arkansas-medical-marijuana-spending-spikes-on-april-20-sales-up-5-1/

Arkansas’ year-to-date sales tax revenue up 13.2%, surplus tops $450 million

by Michael Tilley (mtilley@talkbusiness.net)

Broad gains in consumer spending helped push Arkansas’ year-to-date (July 2021 to March 2022) tax revenue up 7.6%, with sales tax revenue in March up 33.2% compared with March 2021. Overall gains in tax revenue has boosted the state’s revenue surplus to $456 million.

The fiscal year-to-date revenue is $5.898 billion, up 7.6% compared with the same period in 2021 and up 8.4% above forecast, according to Monday’s (April 4) report from the Arkansas Department of Finance and Administration (DFA).

https://talkbusiness.net/2022/04/arkansas-year-to-date-sales-tax-revenue-up-13-2-surplus-tops-450-million/

Arkansas Sales Tax Revenue Up Nearly15% In February, Revenue Surplus Tops $500 Million

By TALK BUSINESS & POLITICS STAFF

The February tax revenue report again shows broad year-over-year gains to include an almost 15% increase in statewide sales and use tax revenue – a sign that consumer spending appears to be robust.

The Arkansas Department of Finance and Administration (DFA) reported Tuesday that gross revenue for fiscal year-to-date (July 2020 to February 2021) is $4.913 billion, up 8.4% compared with the same period in 2019-2020 and up 11.6% over the budget forecast. Part of the gain includes a shift in collections when the 2020 tax due date was moved from April to July, according to the DFA report.

https://www.ualrpublicradio.org/post/arkansas-sales-tax-revenue-nearly15-february-revenue-surplus-tops-500-million

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Arkansas’ ‘Remarkable’ Tax Revenue Up Almost 18% In The First Fiscal Quarter

Arkansas tax revenue continues to beat prior-year levels and forecasts despite an economy weighed down by the COVID-19 pandemic. Tax collections during the first quarter (July-September) of the fiscal year provided $158.8 million more in available revenue than expected.

The gross general revenue was $1.993 billion, up 17.7% compared to the same period in 2019, and up 11.6% above the budget forecast, according to Friday’s (Sept. 2) report from the Arkansas Department of Finance and Administration (DFA).

https://www.ualrpublicradio.org/post/arkansas-remarkable-tax-revenue-almost-18-first-fiscal-quarter

Arkansas' 'Remarkable' Tax Revenue Up Almost 18% In The First Fiscal Quarter

Arkansas tax revenue continues to beat prior-year levels and forecasts despite an economy weighed down by the COVID-19 pandemic. Tax collections during the first quarter (July-September) of the fiscal year provided $158.8 million more in available revenue than expected.