WATERTOWN — City sales tax revenue during the pandemic is faring better than anticipated.
Sales tax revenue was down $11,701, or 78% compared to last October.
That’s compared to original budget projections for the month. Sales tax was up $138,286, or 10.24%, according to a memo by city comptroller James E. Mills.
The year-to-date actual receipts increased $123,128, or 1.72%, while the year-to-date receipts on a budget basis are up $2,140,134, or 41.63%, according to the memo.
Council members on Monday night said they were happy to see sales tax getting back to normal for the city.
During last spring’s budget process, City Council members were worried sales tax revenue would plunge because of the pandemic.
Early on, Mayor Jeffrey M. Smith projected the city would lose about $2 million in sales tax revenue because of the financial crisis caused by the coronavirus pandemic.
Sales tax revenue was down for the first couple of months when the local economy was shut down. But after miserable months in April and May, the sales tax revenue began to normalize after restaurants and retailers were able to reopen in June.