Monthly Economic Report – City Tax Revenues Fall Short of Projections

Audit Date: February 28, 2014
Audit Categories
  • Financial
Controller: Alan Butkovitz

Executive Summary

For Immediate Release:
February 28, 2014

Contact: Brian Dries

City Tax Revenues Fall Short of Projections
City Controller’s economic report indicates tax collections are $16.5 million
below amended projections for current fiscal year

January 2014 Economic Report

PHILADELPHIA – City Controller Alan Butkovitz today released his latest monthly Economic Report that indicated city tax revenues for the current fiscal year are $16.5 million below budgeted projections.

From July 1, 2013 through January 31, 2014, General Fund tax revenues totaled almost $1.19 billion. The City’s projected tax revenue for the same seven-month period was more than $1.20 billion, as reported in the City’s FY2014-2018 Amended Five Year Financial Plan.

The lower than projected tax revenues was a result of the following: Wage/Earn/NPT, -$7.5 million; Real Estate, -$5.4 million; Realty Transfer, -$2.2 million; and Sales Tax, -$2.4 million. The Business Income and Receipts Tax was $1 million above projections.

In addition to reviewing City tax revenues, the Controller’s economic report showed monthly home sales for Philadelphia totaled 719, which is an 8.5 percent decrease from January 2013. Neighborhoods across South Philadelphia, including zipcodes 19145, 19146, 19147 and 19148, recorded some of the highest sales for the month.

Sections of the city from Fishtown (19125) through the Lower Northeast (19124 and 19149) and into Lawncrest (19111) were also included in the top 10 for most sales.