June tax receipts in Cape Girardeau County show inflation's impact

Cape Girardeau County's tax funds for June show the current inflationary spiral in the U.S. continues to aid county receipts.

The county deposited $879,901.72 in sales tax this month as received from the state Department of Revenue, driving total receipts for the first six months of 2022 to $4,393,346.96, up 7.3% from the same time in 2021.

"When the costs of goods go up, the percentage of taxes goes with it -- and being at a 7% increase, that seems to track with the current rate of inflation," said Roger Hudson, the county's treasurer.

Since this time last year, U.S. inflation has gone up 8.6%, the largest annual increase since December 1981, according to the Consumer Price Index.

Despite increasing interest rates, inflation is not slowing.

"However, it looks like the use-tax receipts have eased off, probably from COVID slowing down and people not buying quite as much from the internet," Hudson added.

The county's use tax on items purchased out-of-state and online has totaled $1,573,718.28 for the first six months of 2022, up just 2.4% from a year ago.

In January, use-tax revenue for the month shot up nearly 39% from the same time in 2021, but February and May saw less use tax money flowing into county coffers compared to a year ago.

Other funds

• Proposition One, which primarily funds road and bridge projects, totaled $879,901.91, up 7.8% from a year ago, close to the current inflationary rate.
• Law Enforcement Public Safety Tax took in $878,545.43, up a modest 1.4% from June 2021.