New sales tax data released by the Mississippi Department of Revenue is beginning to show the devastating impact of the coronavirus on the Jackson economy.
Sales tax diversions for the capital city for May are approximately $314,000 lower than the same month last year, while diversions on the year are already more than a $1 million short.
Meanwhile, the city’s tourism sales tax and convention center sales tax collections are also down, a sign that the economic hard times could be on the horizon.
For May 2020, diversions to the city from the regular seven-percent state sales tax totaled $2,011,436, down from $2,325,969 for the same month last year.
The figures are based on sales through the month of April, when the most stringent COVID-19 related shutdown rules were in place.
Year to date, diversions to the city total $24,644,738.74, down from $25,731,460.46 for the same period last year.
May collections from the convention center sales tax total $220,550, down from $416,614 for the same month last year.
Total convention center revenues on the year are $3,841,259, down from $4,267,289 last year, DOR statistics show.
The tax is placed on restaurants and hotels in the city. Funds generated by the assessment go toward retiring the millions in bonds issued to build the convention center.
The city’s tourism tax collections also fell, with $191,366 coming in for the month of May, compared to $332,314 for the same month in 2019.
Receipts from that tax fund Visit Jackson, the city's tourism agency.
Total collections on the year are $3,044,928, about $265,000 less the amount generated during the same period last year.
On a brighter note, the city's one-percent infrastructure revenues are slightly up.
So far this year, the assessment has generated $12,947,603, compared to $12,825,214 for the same period in 2019. However, for the month of May, revenues were down about $65,000, with $1,034,169 being collected.
Funds can be used solely for infrastructure work, such as road repaving, water and sewer line replacement and bridge repairs.