The month of February is traditionally the best month for sales tax receipts for the city of Booneville.
This year was no exception because last week city officials were remitted a record $71,286.06 from State Treasurer Dennis Milligan’s office last week.
February receipts are typically the best month because taxes collected in one month, in this case the December shopping period, are turned over to the Arkansas Department of Finance the following month, in this case January, then transferred to Milligan’s office and turned over to the entity for which they were collected.
The record collection is $6,287.43 more than February of 2019, an increase of 9.7 percent. The return is also $6,599.16, or 10.2 percent, more than in January.
With last week’s return the city’s one percent sales tax has taken in $135972.96, which is $10,229.73, or 8.1 percent ,more than the first two months of 2019, when the tax topped $700,000 for the first time.
The tax collection is in its fifth year of its fifth five year term. City officials have set an April 14 election to seek another five year extension.
If approved, the funding formula for the tax will remain unchanged. The formula calls for proceeds from the tax to benefit 10 different city agencies.
A city improvement account receives 30 percent of the proceeds; the Booneville Police Department 22 percent; the Booneville Fire Department and Area Agency/Senior Center 10 percent each; the Booneville Airport 7 percent; the Booneville Street Department, the city’s parks commission, and animal control offices all 5 percent, the BDC/Chamber 4 percent, and Oak Hill Cemetery 2 percent.