Nevada taxable sales up

Wednesday, Nov. 27, 2002 | 10:57 a.m.

CARSON CITY -- Nevada's taxable sales, one indicator of the economy, grew to $2.7 billion in September, a 7.5 percent increase over a year ago and the biggest percentage gain since February 2000.

The news is important for retailers, who are hoping for a strong start to the holiday shopping season Friday.

But the increase is compared against a weak September 2001, when business activity fell by 9.1 percent, due mainly to the terrorist attacks.

Gov. Kenny Guinn said today the figures "are not good news.

He was referring to $197.6 million in sales tax collections in September, which increased by only 1.5 percent compared to the same month two years ago.

"We have lost a whole year of growth," he said. "This shows the seriousness of the situation."

Guinn is now working on a tax plan to present to the 2003 Legislature to balance the budget. "I wish there was good news. I wake up at 3 a.m. every day looking for good news. This is ugly."

Taxable sales in Clark County rose to $1.968 billion, a gain of 9.5 percent, the largest percentage gain since September 1999.

The State Taxation Department reported that auto sales grew 15.7 percent statewide, in one of the strongest performances of the economy. Restaurant and bars reported an increase of 7.9 percent in business.

The agency said sales in general merchandise stores rose 8.4 percent; miscellaneous retail was up 6.6 percent; clothing stores jumped 18.5 percent and home furniture and furnishing grew 12.2 percent. But sales of building materials statewide fell by 0.3 percent.

In Clark County, auto sales grew to $274.5 million, up 18.6 percent; general merchandise stores reported $161.1 million in sales, up 10.7 percent; eating and drinking places registered $390.4 million in business, up 9.2 percent; home furniture sales grew to $116.3 million up 15.4 percent; apparel stores had a 19.2 percent gain to $97.7 million and miscellaneous retail was up 9.2 percent to $205.2 million.

But the department reported that the sale of building materials in Clark County fell to $104.4 million, down 2.3 percent and business in food stores was off 0.9 percent to $69.2 million.

The department said taxable sales in Washoe County increased to $469.9 million, up 5.4 percent; Carson City reported $71.1 million, off 1.6 percent; Douglas County merchants had $57.8 million in sales, up 17.8 percent; Elko County fell by 4.4 percent to $59 million and Nye County registered a 1.9 percent gain in sales to $24.9 million.