(Radio Iowa) – Consumer spending in Iowa is driving state sales tax revenue higher. Over the past six months, there’s been a more than 10 percent increase in sales tax payments to the state. The latest report of overall tax collections shows total state revenue grew just over nine percent last month compared to December of 2020. Jeff Robinson is the senior fiscal analyst with the Legislative Services Agency.

“In summary, Iowa net General Fund revenue continues to grow at a strong pace, with sales tax posting remarkable year-over-year gains,” Robinson says. “Corporate income tax growth has moderated, but remains positive.”

Robinson says it’s likely there was a modest gain in the amount of personal income tax payments made to the state, however an accounting change made in mid-November makes a precise reading difficult. That’s because the Department of Revenue set up a single account on November 15th for depositing ALL tax payments made to the state and Robinson says it’s taking some time for payments to be separated and reported in each tax category.