Collection reports: Sales tax up, lodging tax down

Tax collections continue to rise in the Grand Valley, one indicator of increasing retail sales activity.

The City of Grand Junction reported a 1.4 percent increase in sales and use tax collections in September compared to the same month last year. Mesa County reported a 6.8 percent year-over-year gain.

Meanwhile, though, city lodging tax collections, a measure of hotel and motel stays, dropped 24.3 percent.

September collections reflect August activity.

The city collected a total of more than $5 million in sales and use taxes, an increase of $70,280 over September 2019. A 1 percent increase in sales tax collections more than offset a 24.8 percent decrease in use tax collections, a smaller and more volatile revenue source.

The county collected a total of more than $3.6 million in sales and use taxes, an increase of nearly $231,000 over September 2019. Sales tax collections rose 2.9 percent. Use tax collections — most on automobiles purchased outside the county, but used in the county — jumped 54.6 percent.

County tax collections on retail sales increased 19.9 percent. Sales tax collections also increased on home improvements, but decreased for the auto, hotel and restaurant and oil and natural gas categories.

Through the first three quarters of 2020, city sales and use tax collections totaled more than $42 million, but lagged 3.5 percent behind the same span in 2019. Sales tax collections fell 3.5 percent, while use tax collections declined 42.9 percent.

County sales and use tax collections through the first three quarters of 2020 totaled more than $29.6 million. That’s an increase of nearly $1 million and 3.4 percent over the same span in 2019. Sales tax collections rose nearly 4.6 percent. Use tax collections fell 7.8 percent.

County tax collections increased 19.3 percent on retail sales through the first three quarters of 2020 compared to same period in 2019. Collections also increased in the construction and home improvement categories, but decreased in the hotel and restaurant and oil and gas categories.

Grand Junction collected $135,823 in lodging taxes in September. Through the first three quarters of 2020, lodging tax collections totaled nearly $774,000. That’s a decrease of nearly $461,000 and 37.3 percent compared to the same period in 2019.