Wisconsin sales tax collections up 2.1% in first quarter of fiscal year

(The Center Square) – Wisconsin saw a 2.1% increase in its general sales and use tax collections in the first quarter of the new fiscal year in numbers released Thursday.

The state collected more than $1.32 billion after collecting $1.29 billion during the same period last year. The numbers represent collections from July through September.

Overall, the state collected an adjusted amount of $4.15 billion in general purpose revenue during the first quarter, up from $3.97 billion in the first quarter of last fiscal year.

Wisconsin collected $21.3 billion last fiscal year, ending in June, after collecting nearly $21 billion the year before.

The numbers represent a continuation of a trend of slowed growth in sales tax revenue for the state in the post-COVID timeframe.

The state collected $2.73 billion in state sales taxes over the first five months of 2024, a 0.4% increase over the $2.72 billion in the same five months the year before, according to Wisconsin Policy Forum .

“The retail sector contributes the largest amount in sales tax revenues by far,” the group said in July. “In calendar year 2023, Wisconsin reported a total of $7.22 billion in sales tax revenues; $3.47 billion of that – or 48.0% – came from retail. Consequently, even though growth in the retail sector was limited (0.6%), that growth accounts for almost the entirety of sales tax revenue growth in Wisconsin during the first five months of 2024.”

Corporate taxes were up 2.8% year over year for the first quarter of the new fiscal year while excise tax was down 2.7% and individual income tax collections were up an adjusted 6.7%.