OKLAHOMA STATE TREASURER
For Immediate Release: September 6, 2012
Oil and Gas Again Pull Collections into
OKLAHOMA CITY – For the third time in the past six months, collections to the
Oklahoma Treasury fell below prior year receipts in August, State Treasurer Ken Miller
announced today as he released the monthly gross receipts to the treasury report.
As with the two prior negative months, markedly lower gross production tax collections
are the cause, Miller said.
“Spending by businesses and consumers continues to be strong,” Miller said.
“Unfortunately, the growth in that area is insufficient to keep the overall trend from dipping into
negative territory again.”
Gross collections for August are 2.8 percent below August of last year. Collections on oil
and natural gas production are 53.7 percent lower for the month, while sales tax collections are
up by 10.4 percent.
Gross production collections have been lower than the prior year for nine consecutive
months, which Miller said presents a somewhat skewed picture of the Oklahoma economy.
“Low unemployment continues to strengthen personal income which in turn continues to
boost purchases, but weak gross production collections drag down an otherwise healthy report.”
August personal income tax collections are also lower than the prior year for a second
time in three months. As with June collections, the downturn is in withholding taxes remitted by
businesses for hourly and salaried employees. Also as with June, withholding remittances for
August are 6.2 percent lower than the prior year.
However, Oklahoma Tax Commission officials believe the drop in withholding taxes is
an anomaly due to remittance deadlines set by the Internal Revenue Service.