SIOUX FALLS, S.D. (KELO AM) - South Dakota Lieutenant Governor Matt Michels says he and Governor Daugaard are optimistic that state sales tax collections will rebound by the end of the fiscal year.
Michels says state officials are watching monthly sales tax returns very carefully between now and the end of the fiscal year in June.
Michels says the administration is concerned because the numbers have yet to turn around. He says he met with Daugaard recently and talked about the priorities that the residents of South Dakota have. He says hopefully most of the sale tax increase will come in building and in other areas they feel are picking up.
Sales taxes have been falling below expectations since last summer. Michels credits the recent legislature with hammering out a tight budget.
Michels says the state administration is not in the "henny penny mode of running around." But he says it's important to monitor collections closely and they have responsible budgetary responses to any potential problems.
Michels says the state will also see more taxes from online sellers. He says he and the governor are very pleased with Amazon and other online retailers who have voluntarily decided to remit sales taxes.
Michels says the state doesn't anticipate a large sum from Amazon sales yet because the reporting began after the holiday sales season.
(Thanks Jerry Oster, WNAX, Yankton)