Texas Comptroller Glenn Hegar announced state sales tax revenue totaled $3.84 billion in May, 4.1 percent more than in May 2022. The majority of May sales tax revenue is based on sales made in April and remitted to the agency in May.
Hegar said, “The rate of sales tax revenue growth continues to moderate, with the increase in May – compared with a year ago – representing the lowest annual rate of increase observed in the 26 months since the end of pandemic restrictions.” He said, “This slower growth is expected and in line with the economic outlook we detailed in our Biennial Revenue Estimate, as both the rate of inflation and growth in real economic activity slow as demand cools in the face of higher interest rate policy and reduced fiscal stimulus from the federal government.
“Remittances from the retail trade sector were negative in May compared with May last year, making it the second time in three months receipts from retail trade have dipped below year-ago levels.”
