(The Center Square) – Hurricane Helene’s impact drove Georgia’s tax revenues down by 3.4% in October, according to Gov. Brian Kemp’s office.
Income tax collections dropped $119.6 million, an 8.7% decline when compared to last October when the state collected $2.53 billion, according to a release.
The most notable factor driving the downturn is a 36.5% decrease in individual income tax payments – a $104.3 drop, according to the figures.
Income tax withholding payments also decreased by $49.4 million.
“Net collections for October were also negatively impacted by the hurricane-related income tax filing and payment deadline extensions announced on October 3,” the release said. “Return and payment deadlines for both individual and corporate income taxes, from that date through April 2025, were extended to May 1, 2025, likely reducing collections of both individual and corporate income taxes except for payroll withholding collection.”
Corporate income taxes were reduced by 47.4%, a total of $62.8 million, fueled by a $23.5 million decrease in corporate income tax payments.
Higher fuel tax collections were attributed to the 2023 fuel tax suspension. The state collected $105.6 million more in fuel taxes during October 2024, a boost of 146.1%, compared to the prior year when consumers were not paying the fuel taxes.
Georgia’s gross sales and use tax collections were up slightly – 0.2% or $2.3 million when compared to fiscal year 2024. But net sales and use taxes are down by 1%, according to the numbers.
Year-to-date tax revenue collections are down 0.6%, a $61.1 million drop from October 2023, according to the release.