Collections from the gross production tax on oil and natural gas in September again remained below totals for the previous year, but the decline isn't as steep as last month, state Treasurer Ken Miller said Monday.
“Hopefully, we've turned the corner there,” Miller said.
Overall, total tax revenue collections, a reflection of the performance of the state's economy, came in for September almost 3 percent higher compared with the same month a year ago, Miller said. Three of the four major categories were positive, with income tax leading the way, up almost 16 percent. Sales tax and motor vehicle receipts also showed growth.
Collections from the gross production tax on oil and natural gas remained well below previous-year totals, Miller said. They were down almost 40 percent in September, but that is an improvement from their low in August of being down 54 percent compared with the same month a year ago.
“Oklahoma's economy continues to climb up the expansion side of the business cycle in spite of low prices for natural gas,” Miller said. “The state's economy continues to perform well.”
Total tax revenue collections came in below the previous year in three of the past seven months, including August. Oil and natural gas production collections have been consistently lower than the previous year for 10 consecutive months.
Sales tax collections, generally viewed as a measure of consumer confidence, were up almost 6 percent in September, Miller said.
“This is obviously a good sign, even though sales tax has been growing by double digits for much of the past year,” he said. “It's still strong growth.”
The revenue report for September sets gross collections at $988 million, up $27.6 million, or 2.9 percent, compared with the same month a year ago.
Gross revenue totaled $11 billion during the 12-month period from October to September, the report shows. That is $566.8 million, or 5.4 percent, higher than collections from the previous 12-month period.