P R E S S R E L E A S E
For Immediate Release:
May 29, 2009
Contact: Brian Dries
Wage Tax Revenues Continue to Fall Below Last Year’s Collections
City endures decrease in collections for five straight months
PHILADELPHIA – City Controller Alan Butkovitz today released the April Economic Snapshot and Forecast that found the City’s wage tax revenues have been below last year’s collections for the past five months.
Since December 2008, the City’s wage tax collections have been less each month than the previous year indicating a shrinking tax base. The City collected $14.6 million less than one year ago in wage revenue for the month of April. Current, total wage tax collections for FY2009 are 3.37 percent less than FY2008.
According to the City’s Budget Office, the lower wage tax collections are in line with revised projections due to the current recession.
The Economic Snapshot and Monthly Forecast are compiled by the Financial and Policy Analysis staff. The City Controller’s office circulates these documents on a monthly basis to assist key decision makers in understanding and anticipating local and national economic trends.
The Monthly Economic Snapshot presents key economic data for the United States, the Greater Philadelphia Region, and the City of Philadelphia. The Monthly Economic Forecast Review is a collection of projections from prominent economic institutions and an analysis of their forecasts of future economic performance. These two documents together — the Snapshot and the Forecast Review — are a useful tool for policy makers and analysts in understanding our city’s and country’s economy.