Steamboat sales tax rebounds in June after soft May thanks to spike in construction, home improvement
STEAMBOAT SPRINGS — After a slight dip in May, total sales and use taxes collected in June in Steamboat Springs experienced an increase, in part due to a surge in the construction and home improvement tax category.
In a report released by the city, sales and use taxes collected — totaling $2,246,980 in June — saw a 7.64% increase when compared to June 2018.
Collections in June represent about 8% of the city’s annual collections, according to the city, which has been the case for the past five years. So far in 2019, the city has collected nearly $14 million in sales taxes, an increase of 7.63% compared to the same period last year.
A breakdown of the sales tax in Steamboat Springs.
- City of Steamboat Springs sales tax: 4%
- School tax: .5%
- State of Colorado: 2.9%
- Routt County: 1%
Total combined tax rate: 8.4%
Taxes collected in the construction and home improvement category increased about 45% compared to June 2018. According to the city, that increase was due to several out-of-town companies selling hospitality furniture, fixtures and equipment. Taxes collected in the regional area jumped 51% for the same reason.
Most other sales tax categories, including liquor, lodging, restaurants, sporting goods and utilities, experienced a decrease in June, while the grocery, marijuana and miscellaneous categories posted an increase.
Two geographical areas where sales taxes are collected, the downtown and mountain areas of Steamboat, also showed a decrease compared with June 2018.
To reach Bryce Martin, call 970-871-4206 or email bmartin@SteamboatPilot.com.
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