PROVIDENCE- Collection of the 1 percent meal and beverage tax in Rhode Island reached $2.1 million in February, a 38.8 percent increase from $1.5 million in February 2017, the R.I. Department of Revenue announced Tuesday.
Providence recorded the highest 1 percent meal and beverage tax collections for February and highest year-over-year tax collection increase, totaling $530,575, up from $345,257 one year prior, while Bristol recorded the greatest year-over-year decline of the tax with a 46.6 percent decline from $58,852 in February 2017 to $31,413 in 2018.
Fiscal year-to-date collection in February for all Rhode Island municipalities rose 14.8 percent year over year, an increase of $2.5 million from $16.9 million to $19.4 million.
Providence also recorded the highest fiscal year-to-date tax collection statistic with $4.2 million, which reflects a 25.2 percent rise from $3.3 million in fiscal year-to-date collections in February 2017. Central Falls experienced the greatest collection growth rate, increasing 36.8 percent from the previous year to $109,512, while East Greenwich accounted for the greatest negative percent change, declining 19.6 percent from $573,282 to $460,757.
“Local 1.0 percent meal and beverage tax collections have performed very well in FY 2018 providing revenue increases to all but six municipalities with strong nominal increases in Providence, up $840,598 on a fiscal year-to-date basis; Warwick, up $336,211; Newport, up $240,102; and Cranston, up $206,612,” Director of Revenue Mark A. Furcolo said in a statement.
Haley Hunt is a PBN contributing writer.
