Texas Border Business
By DAVID A. DÍAZ
McAllen, Brownsville and Harlingen finished first, second and third, respectively, in the amount of local sales taxes generated by their retail economies for the one-year period calculated by the Texas Comptroller of Public Accounts.
Edinburg, Pharr, Mission and Weslaco, in that order, rounded out the list of local retail taxes produced for the same one-year period, according to the state agency.
Under the reporting system maintained online by the Texas Comptroller of Public Accounts, for all public entities which generate local sales taxes, year-to-date totals begin in November of each year.
All figures for Valley communities which collect a local sales tax on qualified retail purchases, along with every other governmental entity in Texas which do the same, are provided by the Texas Comptroller of Public Accounts.
The sales tax, formally known as the State Sales and Use Tax, is imposed on all retail sales, leases and rentals of most goods, as well as taxable services. Texas cities, counties, transit authorities and special purpose districts have the option of imposing an additional local sales tax for a combined total of state and local taxes of 8 1/4% (.0825).
The amount of local sales taxes collected helps reflect the strength of an economy, along with construction activities, per capita income, education, historical performances, and related trends.
In terms of local sales tax revenue for October 2018, McAllen led all major Valley cities with $5,472,359.12, while Brownsville was second ($3,322,887.71), Harlingen was third ($2,022,327.17), and Edinburg was fourth ($2,007,037.14).
The monthly findings for October 2018 are based on sales made by businesses that report tax monthly.
Texas Comptroller Glenn Hegar on Wednesday, December 12, 2018, said he will send cities, counties, transit systems and special purpose taxing districts $761 million in local sales tax allocations from retail activities generated in October 2018 – 9.5 percent more than in October 2017.
The local sales tax data is among the latest economic barometers featured in a detailed summary provided by the state comptroller’s office.
Among its many duties, the Texas Comptroller’s office is the state’s chief tax collector, accountant, revenue estimator and treasurer.
Based on the amount of sales taxes generated, according to the state comptroller’s office, the Valley’s major cities ranked accordingly in the following local sales tax figures:
November 2017 through October 2018, compared with November 2016 through October 2017
Under the reporting system maintained online by the Texas Comptroller of Public Accounts, for all public entities which generate local sales taxes, year-to-date totals begin in November of each year.
From November 2017 through October 2018, based on the amount of sales taxes generated, compared with November 2016 through October 2017, the Valley’s major cities ranked accordingly in the following local sales tax figures:
• McAllen: $64,157,909.36, from November 2017 through October 2018, up 9.45 percent compared with November 2016 through October 2017 ($58,616,964.88);
• Brownsville: $38,851,025.62, up 6.78 percent from November 2017 through October 2018, compared with November 2016 through October 2017 ($36,383,169.53);
• Harlingen: $25,293,869.01, from November 2017 through October 2018, up 5.35 percent compared with November 2016 through October 2017 ($24,007,367.90);
• Edinburg: $22,794,459.19, from November 2017 through October 2018, up 8.88 percent compared with November 2016 through October 2017 ($20,934,767.43);
• Pharr: $18,959,562.49, from November 2017 through October 2018, up 11.09 percent compared with November 2016 through October 2017 ($17,065,314.64);
• Mission: $15,659,980.81, from November 2017 through October 2018, up 6.58 percent compared with November 2016 through October 2017 ($14,693,032.70); and
• Weslaco: $12,802,273.24, from November 2017 through October 2018, up 7.13 percent compared with November 2016 through October 2017 ($11,950,056.95).
October 2018 compared with October 2017
• McAllen: $5,472,359.12 up 24.64 percent compared with October 2017 ($4,390,341.47);
• Brownsville: $3,322,887.71, up 20.14 percent compared with October 2017 ($2,765,731.12);
• Harlingen: $2,022,327.17, up 3.67 percent compared with October 2017 ($1,950,730.56);
• Edinburg: $2,007,037.14, up 23.54 percent compared with October 2017 ($1,624,490.61);
• Pharr: $1,633,687.83, up 19.80 percent compared with October 2017 ($1,363,639.30);
• Mission: $1,375,841.66, up 23.75 percent compared with October 2017 ($1,111,735.70); and
• Weslaco: $1,051,260.22, up 18.60 percent compared with October 2017 ($886,379.30).
For details on local sales taxes generated in October 2018 by individual cities, counties, transit systems and special purpose districts, visit the Comptroller’s Monthly Sales Tax Allocation Comparison Summary Reports.
