Alabama’s economy is at a blazing pace a year after the worst lockdown in the pandemic.
According to the Alabama Department of the Treasury, taxed sales rose nearly 41% in March and April year over year. And nine of the last twelve months saw double-digit year-over-year growth, according to the Alabama Retail Association.
The numbers rise when you add online sales as well. In-person sales collections, added to online sales at non-Alabama points of sale, increased 42.3% in March 2021 compared to March 2020. Regular collections increased 38.16%, and Alabamas simplified Sellers Use Taxes Tracking Online Sales increased nearly 72%.
Total taxed sales in April 2021 rose nearly 39% from April 2020, the month when many Alabama companies had no in-store sales. Regular sales tax collections in April rose nearly 41% and the simplified seller use tax rose nearly 29%.
Alabama also had record tax revenues every month – $ 334 million in March and $ 308 million in April.
But Alabama’s economy did better than many other states during the pandemic. Despite the shutdown, the state ended 2020 with a taxed sales growth rate of 7.13% for the year. In November and December 2020 alone, Alabamers spent 11.6% more than in the same period in 2019. It was the fastest vacation growth rate on record.
According to the group’s revised Annual Forecast, the National Retail Federation expects retail sales to grow between 10.5% and 13.5% this year to more than $ 4.44 trillion. That would be the fastest growth the US has seen since 1984.