2014 First Quarter Local Option Tax Revenues Increase Again

The Town of Manchester released local option tax revenue figures for the first calendar quarter of 2014.

Overall, revenues increased $12,978 or 5.95% compared to the same quarter in 2013. For 2014 the Town collected $230,930 in local option tax revenues, compared to $217,951 for the same quarter in 2013. This comes after a 3.78% increase in the last quarter of 2013 and a 6.24% increase in the third quarter of 2013.

Sales tax revenue was $160,814, up from $146,266 for the same quarter in 2013. This represents an increase of $14,548, or 9.95%. Meals, rooms, alcohol tax revenue was $70,116, down slightly from $71,685 for the same quarter in 2013 after ten consecutive quarters of positive growth compared to the same quarter in the previous year. The decrease is $1,569, or 2.19%.

The increase in local option tax revenues is good news for two reasons. First, revenues help to reduce the local property taxburden. For the current fiscal year Manchester has the 19th lowest municipal tax rate in Vermont. Second, increases in tax revenues mean increases in economic activity on Main Street (and Depot Street).

4th Quarter 2013 Tax Revenues Increase 3.78%

The Town of Manchester released local option tax revenue figures for the fourth calendar quarter of 2013. Overall, revenues increased $9,867 or 3.78% compared to the same quarter in 2012. The fourth quarter increase comes after an even larger 6.24% increase in the third quarter.

Sales tax revenue was $183,885, up from $177,113 for the same quarter in 2012. This represents an increase of $6,772 or 3.82%. Meals, rooms, alcohol tax revenue was $86,690, up from $83,595 for the same quarter in 2012. This represents an increase of $3,095 or 3.70%.

The increase in local option tax revenues is good news for two reasons. First, revenues help to reduce the local property tax burden. For the current fiscal year Manchester has the 19th lowest municipal tax rate in Vermont. Second, increases in tax revenues mean increases in economic activity on Main Street (and Depot Street).

Manchester Has 19th Lowest Tax Rate

The Town of Manchester, for Fiscal Year 2014, has the 19th lowest Municipal Tax Rate for the State of Vermont. Manchester’s Municipal Tax Rates for Fiscal Year 2014 is $0.2199. Among municipalities with more than 3,000 residents, Manchester ranks third behind Rutland Town and Charlotte.

The analysis included town or city municipal taxes, special taxes levied by municipalities, such as fire, highway and police services as well as voted appropriations to social service agencies. The comparison did not include village taxes assessed by separate incorporated villages, including Manchester Village.

Fiscal Year 2014 Municipal Tax Rates and Populations

#19 – Manchester: $0.2199 (population 4,391)
#18 – Morgan: $0.2192 (749)
#17 – Sheffield: $0.1987 (703)
#16 – Fayston: $0.1954 (1,353)
#15 – Woodford: $0.1920 (424)
#14 – Rutland (Town): $0.1778 (4,054)
#13 – Charlotte: $0.1670 (3,754)
#12 – Averill: $0.1344 (24)
#11 – Averys Gore: $0.1344 (0)
#10 – Ferdinand: $0.1344 (32)
#9 – Lewis: $0.1344 (0)
#8 – Warners Grant: $0.1344 (0)
#7 – Warren Gore: $0.1344 (4)
#6 – Stratton $0.1330 (216)
#5 – Glastenbury: $0.1200 (8)
#4 – Brunswick: $0.0500 (112)
#3 – Victory: $0.0192 (62)
#2 – Lowell: $0.0000 (879)
#1 – Coventry: $0.000 (1,086)

In Bennington County, only Glastenbury and Woodford have tax rates lower than the Town of Manchester. Other comparable so-called “sending towns” under Act 60 are: Killington ($0.2889), Stowe ($0.3823) and Woodstock ($0.3670).