June Net Tax Revenues Down 6.8% Due to Fuel Tax Suspension

ATLANTA - The State of Georgia's June net tax revenue collections totaled nearly $2.95 billion for a decrease of $215.1 million, or 6.8 percent, compared to Fiscal Year 2025 when net tax collections totaled $3.16 billion for the month. Year-to-date, net tax revenue collections for the period ending June 30 totaled $33.75 billion for an increase of $129.5 million, or 0.4 percent, over last year's final net tax revenue total of $33.62 billion in Fiscal Year 2025.

Monthly comparisons were affected by the recent motor fuel excise tax suspension, which began March 20, 2026, and remained in effect until June 3rd. Net of motor fuel tax changes, net tax revenues for the month of June were down 0.6 percent from the same month a year ago, while year-to-date collections remained up nearly 1.6 percent over FY 2025.

The changes within the following tax categories help to further explain June's overall net tax revenue decrease:

Individual Income Tax: Individual Income Tax collections totaled $1.39 billion, for a decrease of $99.8 million, or 6.7 percent, compared to last year when Individual Tax collections totaled $1.49 billion.

The following notable components within Individual Income Tax combine for the net decrease:
• Individual Income Tax refunds issued (net of voided checks) were up $66.8 million or 70.9 percent

• Individual Withholding payments increased by $23.6 million, or 2 percent, over the previous fiscal year

• Individual Income Tax Estimated payments increased $33 million, or 19.8 percent, over June 2025

• Individual Income Tax Return payments decreased $103 million, or 68.3 percent, from FY 2025

• All other Individual Tax categories, including non-resident payments, were up a combined $13.4 million

Sales and Use Tax: Gross Sales and Use Tax collections approached $1.72 billion in June for an increase of $126.6 million, or 8 percent, compared to June Fiscal Year 2025. Net Sales and Use Tax increased by $52.9 million, or 6.8 percent, from the previous year when net sales tax totaled $777.8 million. The adjusted Sales Tax distribution to local governments totaled $872.3 million for an increase of $77.1 million, or 9.7 percent, while Sales Tax refunds for the month declined by $3.4 million compared to last year.

Corporate Income Tax: Corporate Income Tax collections for the month of June totaled $518.7 million for a year-over-year increase of $34 million, or 7 percent, compared to last year's total of $484.7 million.

The following notable components within Corporate Income Tax make up the net increase:
• Corporate Income Tax refunds issued (net of voids) decreased $10.4 million, or 26.7 percent from FY 2025

• Corporate Income Tax Return payments decreased by $21.3 million, or 46.1 percent, from June 2025

• Corporate Income Tax Estimated payments increased $39.3 million, or 11 percent, over June FY 2025

• All other Corporate Tax types, including S-Corp payments, were up a combined $5.6 million in June 2026

Motor Fuel Taxes: Motor Fuel Tax collections decreased by $196.9 million, or 98.5 percent, compared to FY 2025, reflecting the impact of Governor Kemp's Executive Order suspending the motor fuel excise tax to provide hardworking Georgians relief.

Motor Vehicle - Tag & Title Fees: Motor Vehicle Tag & Title Fees decreased by $2.3 million, or 7.6 percent, for the month, while Title Ad Valorem Tax (TAVT) collections decreased by $5.4 million, or 7 percent, from June 2025.