During the first nine months of 2020, state tax revenues in Ohio came in at near zero percent below the same period in 2019, according to the Tax Foundation. Comparing just the second and third quarters of 2020 with the same period a year earlier, the state tax revenues in Ohio were only 2.6% lower. The time period reflected the first six months when the coronavirus pandemic was in full swing in the United States.
A total of 10 states recorded higher revenue collections during the first three quarters of 2020, while such revenues were down by double digits in nine states during the same period.
In small rural counties throughout Ohio, tax collections either remained stable or increased during the pandemic, a stark difference from the Great Depression of 2008/2009. According to data provided by the Adams County Auditor, county government collected record setting sales tax revenues in 2020.
The Board of County Commissioners had sales tax receipts of just over $3 Million last year, as compared to $2,581,690.30 in 2019 and $2,499,178.49 in 2018.
Consumer spending drives sales tax revenues which were boosted by multiple stimulus payments, increased unemployment benefits, and the Paycheck Protection Program. In addition, over $535 Billion was provided to state and local governments to help maintain employment levels and income tax revenues during the pandemic.
In addition to higher sales tax revenues, Adams County government is slated to receive $5,371,857 from the new federal bailout program passed by Congress last month. The state of Ohio is on tap to receive just over $2 Billion from the federal plan. The county will be directed by the Treasury Department to use the money to off-set increased expenditures, replenish lost revenue and mitigate economic harm from the COVID-19 pandemic.
