For Immediate Release:
Aug. 24, 2010
Contact: Brian Dries
Increased Amusement Revenues Credited to Phillies’ Success
Butkovitz’ monthly economic report highlights
increased entertainment revenues over last five years
PHILADELPHIA – While some tax collections are below previous year totals, Philadelphia’s entertainment taxes, liquor and amusement, have thrived over the last five years with a 40 percent combined increase, according to City Controller Alan Butkovitz’ monthly economic report released today.
The amusement tax, a five percent tax applied to tickets for concerts, movies and sporting events, increase of 25.7 percent can be credited to the Phillies’ success in their last three seasons, resulting in revenue collections to increase by almost $5 million.
For the current fiscal year, the City is expecting $21.1 million in amusement revenues. The following is a comparison in team success to amusement revenues collected:
FY06: $16.9 million – no postseason
FY07: $16.1 million – no postseason
FY08: $17.9 million – lost first series in postseason
FY09: $21.6 million – won World Series
FY10: $21.2 million – lost World Series
Another entertainment tax includes the 10 percent liquor by the drink applied to all sales of drinks by any hotel, restaurant or liquor license holder. Since FY06, these revenues have increased 14.4% with the highest amount, almost $43 million, collected within the last year. All liquor tax collections are remitted to the Philadelphia School District.
Along with reporting City tax revenues, the Controller’s economic publication highlights July’s lower real estate sales, resulting in an increase in sales to foreclosures. The percentage of total sales from foreclosures was 18 percent compared to 10.9 percent in June.
The Controller’s economic report is compiled on a monthly basis and includes an Economic Snapshot and Forecast, as well as real estate information and other local statistics. These reports are circulated every month to assist key decision makers in understanding and anticipating local and national economic trends. Both of these documents are a useful tool for policy makers and analysts in understanding our regional and local economy.