Monthly Economic Report: City Tax Revenues Up $500 Million in Four Years


Date: July 31, 2014
Categories
  • Financial
Controller: Alan Butkovitz

Executive Summary


For Immediate Release
July 31, 2014

Contact: Brian Dries
215-686-8869

City Tax Revenues Up $500 Million in Four Years
City Controller’s economic report reviews the 22% increase over fiscal year 2010

June 2014 Economic Report

PHILADELPHIA – City Controller Alan Butkovitz today released his latest monthly Economic Report that indicated fiscal year 2014 City General Fund Tax Revenues were $502 million, or 22 percent, more than what was collected in fiscal year 2010.

Collections for fiscal year 2014 totaled more than $2.8 billion compared to the $2.3 billion collected in fiscal year 2010. During this period, almost every major tax category realized significant increases including the following:

FY10

FY14

$ Diff.

% Diff

Real Estate $402.3 million $540.4 million $138.2 million 34.4% Bus. Priv. $364.7 million $465.3 million $100.6 million 27.6% Realty Trnsfr $119.2 million $167.8 million $48.6 million 40.8% Sales $207.1 million $263.7 million $56.6 million 27.3% Wage/Ern/NPT $1.13 billion $1.28 billion $150 million 13.3%

Since fiscal year 2010, both the wage and net profits tax rates were reduced; whereas, during fiscal year 2011, there was an increase in the real estate tax rate. Since the additional one percent sales tax was implemented during fiscal year 2010, an entire year of collections was not recorded at the higher rate. Although, sales tax revenues have recorded year-over-year increases since the rate went from seven to eight percent.

In addition to reviewing tax revenues, the Controller’s economic report showed that monthly home sales totaled 1,197, which is a less than one percent decrease over June 2013. Neighborhoods in South Philadelphia along with portions of the Lower Northeast recorded the highest number of sales for the month.

###