WHITE PLAINS RECEIPTS DOWN 5.2%
WPCNR QUILL & EYESHADE. From the NYS Department of Taxation & Finance. By John F. Bailey. March 13, 2024:
Usually January sales tax receipts, just in, show a nice start to the New Year.
Not this year.
Westchester County sales tax receipts plunged 11% to start the County 2024 Fiscal year.
If this trend continues, the county deficit they ended 2023 with — $23.7 Million dollars below projected sales tax revenue in 2023, could significantly increase.
Was all that sales tax projected in 2023 based on the full effect of the last 1% sales tax increase by the county—and it did not deliver as expected? It looks like it at this point. If we fell short countywide last year on the sales tax handle with the 1%, and the present 11% decline the effect of 3.2% inflation, that spells trouble, big dollar trouble. Big economy trouble.
The county collected $70,697,235 in January 2024 according the New York State Department of Taxation & Finance. In January a year ago, the County collected $79,248,711 (when inflation was running 8 to 9%).
Inflation “under control” may be the answer to this abnormal decline, (now that 3.2% is the inflation rate as now according to the government yesterday).
But are consumers so strapped by the pile on inflation that automatically raises and retains every monthly increase rate of last year that they are “buyed out?”
However, the City of White Plains sales tax handle also declined 5% in January, $4,943,308 in January compared to $5,217,397 in January 2023.
This still means that the city, if they equal the sales taxes collected February to June 2023 ($28,677,431) this year will see $51,377,961 in sales taxes equal to last year.
February figures will be in next week. Perhaps the 11% and the 5.2% lags at the county and in White Plains will turn around sharply which they need to do.
It also raises the question in my mind whether controlling inflation is really good for the economy or at least cities, counties, and towns. Government economic figures influence how people feel.
The Federal Reserve consistently raised interest rates to control “cool down the economy” because inflation hit 8%. They have lowered it to 3.2%. Meantime jobs keep being added to the economy, wages keep going up, and prices keep going up but slowing. I see this anomaly every week.
The big Companies are doing well and not treating people right. The companies have increased inflation and prices of gas, heating oil and natural gas that supply the economy. Banks have raised mortgage rates to profiteer on people who want to buy homes. Manufacturers have cut payrolls through layoffs and added price increases too in efforts to show nice fat “recovery” good profit numbers for shareholders and the value of their stocks.
Meanwhile, people should realize that lowering the inflation rate to 3.2%, does not mean you’re paying less.
Only the rate of the price going up is lower. You, Mr. and Mrs. And Ms.White Plains are supporting the fat cats greed, feeding it. You are buying the economic propaganda, too.
You and me are paying all the increases (including what the lower inflation rates automatically deliver) in cumulative effect every month the inflation is not a zero.
In essence, companies find ways to raise prices and justify them. The justification is their continued and growing profit.
That is capitalism.
Inflation is not the enemy.
Inflation is good for business, good for governments, good for politicians if the propaganda on the economy is spun just right to reflect their being in power, or out of power and they can fix it.
The Federal Reserve has been applauded for reducing inflation, while the government has not moved at all to control corporate hunger for price increases by blaming them in the least for inflation.
It is always external causes, never the corporations that continue their profiteering regardless of the misery it causes their consumers, their workers who are considered expendable.
Even economists support this myth of controlling inflation, which when they control it continues to hurt the consumer,too. But somehow it never seems to hurt businesses which set their prices, do not set competitive prices and map corporate strategies for their benefit.
They never heard of the term “fair price.”
Inflation is not the enemy.
It is us.
