(AUSTIN) — Texas Comptroller Glenn Hegar today released totals for fiscal 2022 state revenues, in addition to announcing monthly state revenues for August.
- General Revenue-related revenue for fiscal 2022 totaled $76.47 billion, up 26.4 percent from fiscal 2021.
- All Funds revenue was $183.34 billion, up 7.5 percent from fiscal 2021.
- All Funds tax collections were $77.21 billion, up 25.6 percent from fiscal 2021.
- Sales tax revenue was $42.97 billion, up 19.3 percent from fiscal 2021.
- Motor vehicle sales and rental tax revenue was $6.45 billion, up 12.5 percent from fiscal 2021.
- Franchise tax revenue was $5.67 billion, up 25.2 percent from fiscal 2021.
- Oil production tax revenue was $6.36 billion, up 84.4 percent from fiscal 2021.
- Natural gas production tax revenue was $4.47 billion, up 185 percent from fiscal 2021.
“Revenues continue to outpace even our most recent forecast as All Funds tax collections closed the fiscal year $841 million above the projection in our Certification Revenue Estimate.” Hegar said. “To put it into perspective, only five times since 1988 has the rate of growth in Texas’ All Funds tax collections exceeded the prior fiscal year by double digits — and those increases ranged from 10 to 13 percent. This year’s rate of growth was almost double the previous high in that time. Over the last many months, economic growth and inflation have driven higher sales tax collections as demand remains strong and businesses and consumers continue to pay elevated prices for goods.”
The Economic Stabilization Fund (ESF) and State Highway Fund (SHF) both receive funding from oil and natural gas severance taxes. Within 90 days, the Comptroller’s office will deposit $3.64 billion in each of those funds, up from the $1.46 billion deposited in each fund in November 2021.
Hegar also said state sales tax revenue totaled $3.77 billion in August, 13 percent more than in August 2021.
The majority of August sales tax revenue is based on sales made in July and remitted to the agency in August.
“The strong growth in August came from receipts remitted by the oil and gas mining sector, which were up by nearly 80 percent compared with a year ago,” Hegar said. “Receipts from the construction, manufacturing and wholesale trade sectors showed double-digit growth for the ninth consecutive month, demonstrating continued strong spending by businesses in the state.
“Receipts from nearly all segments of the retail sector came in higher than a year ago, with online shopping and sales at grocery stores leading the way. Receipts from restaurants were also up from last year.
“Receipts from the sporting goods and hobby stores and clothing and accessories stores sectors were down slightly from their August 2021 totals.”
Total sales tax revenue for the three months ending in August 2022 was up 14.7 percent compared with the same period a year ago. Sales tax is the largest source of state funding for the state budget, accounting for 56 percent of all tax collections. Texas collected the following revenue from other major taxes:
- motor vehicle sales and rental taxes — $651 million, the highest monthly collections on record, up 4 percent from August 2021;
- motor fuel taxes — $320 million, down 3 percent from August 2021;
- oil production tax — $609 million, up 50 percent from August 2021;
- natural gas production tax — $525 million, up 144 percent from August 2021;
- hotel occupancy tax — $69 million, up 6 percent from August 2021; and
- alcoholic beverage taxes — $145 million, up 7 percent from August 2021.
For details on all monthly collections, visit the Comptroller’s Monthly State Revenue Watch. For an extensive history of tax policy developments and fees since 1972, visit our updated Sources of Revenue publication.