The latest sales tax allocation figures for Athens from State Comptroller Susan Combs office didn’t tell the whole story concerning retail sales in the city in June.
Athens Assistant City Administrator David Hopkins said money repaid businesses due audits by the comptroller’s office cut into the city’s allocation check for August.
“That month, we lost $31,000 in audits that they gave back,” Hopkins said.
The $31,000 swing took Athens to almost four percent below its allocation for August, 2101. Hopkins said that without the loss, the city would have been about three percent on the plus side.
“Audit’s swing both ways,” Hopkins said. “Just as we have gotten money from audits before, this month we lost $31,000. That’s an unusual amount to have to give back in audits.”
Athens collected $439,566 in June, 2011. When the audit refund amount was subtracted, the city’s allocation was sliced to $401,518. The June, 2010 collections figure was $415,300. Audits benefited Athens by a little over $2,000, bringing the net payment for the month to $418,009.
An example of a month when Athens received a big boost due to an audit was in May, 2010 when the city received $76,700. When that was added to the city’s sales tax collection total, the net payment was a healthy $517,479.
The State Comptroller’s Audit Division conducts financial examinations of taxpayers’ books and records to determine whether or not state taxes are owed.
A less common occurrence is when the office determines that a business is due a refund.