The Covid-19 Effect: State Sales Tax Receipts Shrank  Billion In May

The Covid-19 Effect: State Sales Tax Receipts Shrank $6 Billion In May

May state sales tax receipts shrank by nearly $6 billion, or 21 percent, compared to May 2019, according to data compiled by the Tax Policy Center. State stay-at-home orders, decisions to close businesses, states’ sales tax filing and payment deadline extensions, and COVID-19 cases all contributed to the freefall of sales tax revenues.

State sales tax revenue data for May are available from 42…

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