WACO, Texas (KXXV) — New data from the Texas Comptroller shows a drop in local sales tax revenue this time around, but economic experts say this is a routine shift in the economy.
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A month ago, I was at Central Texas Market Place reporting on an 11% increase in sales tax revenue. While the new numbers show a decrease, experts say one or two months do not define a trend.
Small businesses are often the first to notice when customers pull back on spending, even slightly.
"Steady base of people that come in and it's supported our shop, so. I think we do OK," Debbie Raven said.
The numbers reflect sales from January, meaning the data reported now actually happened about two months ago.
"So, when you look at how numbers are reported… those numbers are usually 2 months behind… it doesn't really mean that there's any changes in the local or state economy. You can see an 11% jump and a 6% drop the next month… and it's just a timing issue," Dan Varroney said.
Statewide, new numbers from the Texas Comptroller show local governments received more than $1 billion in sales tax revenue this month. That is a more than two percent increase compared to this time last year.
Varroney expects the local economy to remain resilient.
"Texas is one of the most preferred states… Waco can expect in the next 12 to 24 months, strong sales tax performance… Waco will be in very good shape," Varroney said.
With summer coming up, local shops hope to see more business.
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