Grand Valley tax collections trend upward

Tax collections, a measure of retail sales, continue to trend upward in the Grand Valley.

The City of Grand Junction reported a 6.2 percent increase in combined sales and use tax collections in November compared to the same month last year. Mesa County reported a 7.6 percent gain.

City lodging tax collections, a measure of hotel and motel stays, edged down.

November collections reflect October sales.

The city collected a total of more than $5 million in sales and use taxes. That’s a year-over-year increase of nearly $293,000.

A 6.3 percent increase in sales tax collections more than offset a 35.3 percent decrease in use taxes, a smaller and more volatile source of revenue.

The county collected a total of more than $3.6 million in sales and use taxes. That’s a year-over-year increase of almost $258,000.

Sales tax collections rose 8.1 percent. Use tax collections — most on automobiles purchased outside the county, but used in the county — increased 3.1 percent.

Tax collections on retail sales rose 17.3 percent, an increase bolstered by a more than three-fold increase in internet sales. Tax collections rose 27.9 percent on home improvements, 14.2 percent on automobiles and 5.6 percent on restaurant meals and hotel stays. Collections dropped 53.8 percent in the oil and natural gas industry.

Through 11 months of 2020, city sales and use tax collections totaled more than $52.5 million. That’s a decrease of more than $1 million and 1.9 percent over the same span in 2019. Sales tax collections dropped 2 percent, while use tax collections declined 38 percent.

County sales and use tax collections totaled nearly $37 million through the first 11 months of 2020. That’s an increase of more than $1.6 million and 4.7 percent over the same span in 2019.
A 5.6 percent increase in sales tax collections more than offset a 4.4 percent decrease in use tax collections.

County collections on retail sales increased 20.1 percent with an increase in internet sales accounting for more than half of the $2 million gain. Collections increased 16.4 percent in the wholesale category and 16.1 percent on home improvements. Collections dropped 58.7 percent in the oil and natural gas industry.

The city collected $140,914 in lodging taxes in November, down two-tenths of a percent from the same month last year.

Through 11 months of 2020, collections topped $1 million. That’s a decline of nearly $506,000 and 32.4 percent from the same span in 2019.