(Des Moines, IA) – – An Iowa Department of Revenue official confirms some communities are getting early holiday gifts from the state in the form of much larger checks than expected from local option sales taxes.
State chief economist Robin Anderson says it’ll be a boom to the budgets in quite a few towns and counties.
She says some of the increase does have to do with changes to how we collect sales tax revenue for internet sales.
Anderson says estimates are made based on the first three quarters of the previous year, and changes to the economy and our buying habits during this year’s pandemic threw off those estimates. Some communities were anticipating state checks of ten-thousand dollars, and they’re instead getting checks of between five and ten times that amount. But others are getting less than expected.
