Over 1.3 million readers this year!

Gillette sales tax revenue beats projections despite yearly decline

Gillette Main Street Downtown Yard Sales

The 1st Annual Gillette Main Street Downtown Yard Sales will feature merchants selling on sidewalks and in-stores as well as the community selling on the 3rd Street Plaza Saturday, Just 24 from 9 a.m. to 2 p.m.

GILLETTE, Wyo. — Gillette’s sales tax revenue is down this year, but the city’s conservative budget means it is still collecting more than it anticipated.

As of December, the city has $24,862,260 in year-to-date sales tax receipts. This is $2.1 million, or 9.39%, more than the budgeted amount of $22,727,500.

(City of Gillette)

According to the city’s data, every month of fiscal year 2024–25 has seen a decline in sales tax revenue compared to the same month in FY23–24. Per the latest release of data, December 2024 receipts were $4,043,823, or 5.21%, lower.

FY 2024 ActualFY 2025 Actual% Change
July$5,169,664$4,518,629-12.59%
Aug.$4,601,351$3,934,945-14.48%
Sept.$4,645,317$4,233,315-8.87%
Oct.$4,963,895$3,874,233-21.95%
Nov.$4,767,077$4,257,315-10.69%
Dec.$4,266,059$4,043,823-5.21%
TOTAL$28,413,363$24,862,260-12.5%
(City of Gillette)

The current fiscal year’s sales tax collections are lagging behind the previous two fiscal years.

As of December, the city has collected $24,862,260 in sales tax revenue, which is 9.74% less than the $27,546,439 collected in FY22–23.

However, this year’s collections are still higher than those of FY21–22, at $19,116,102, and FY20–21, at $14,972,613, indicating an overall upward trend in sales tax revenue over the past few years.

Despite a national trend of decreasing inflation and increasing consumer optimism, Gillette has experienced a drop in sales tax revenue this year. National inflation peaked at 3.5% in March 2024 before falling to 2.5% in August, and then rising slightly to 2.7% in November, according to U.S. Inflation Calculator. December’s inflation data will be released on Jan. 15.

Still, prices on many goods remain elevated compared to pre-pandemic levels. That contributed to a sustained period of reduced consumer spending, as wage growth has not kept pace with the increased cost of living.

McKinsey & Co. reported in December that “consumers are feeling cheerier than they have all year, but that doesn’t mean they will spend with abandon.” The company’s ConsumerWise team found that U.S. consumer optimism reached its highest level since before the pandemic thanks to positive trends like low unemployment rates, steady job growth and a swift U.S. election outcome.

“Yet despite the new tide of optimism, consumers across income levels and generations said they plan to keep their spending habits relatively subdued, particularly in discretionary and luxury categories,” the company said.

Related