Blog

9/17/18

Counties could see more sales taxes

By Jason Stein

Starting Oct. 1, the state of Wisconsin will begin collecting taxes on more sales made by out of state and internet retailers to consumers here. The move follows a June 21 U.S. Supreme Court decision in South Dakota v. Wayfair, Inc. to give states wider latitude under federal law in taxing these sales.

As we explained in issue 14 of our publication, Focus, this move will lead to an estimated $120.9 million increase in annual state and local sales tax collections and may trigger a cut in the state income tax as well.

At our request, the state Department of Revenue (DOR) provided estimates on how much local governments are expected to receive out of this larger total. That includes a combined $9.7 million a year to the 66 counties that levy a 0.5% sales tax on top of the 5% state tax and nearly $745,000 to the Miller Park stadium district that collects 0.1% from the five-county greater Milwaukee area.

Scroll over the interactive map to see how much each county is projected to receive in additional sales tax collections. The state’s two largest counties, Milwaukee and Dane, together accounted for just over one-third, or $3.3 million, of the projected statewide increase for local governments in yearly sales tax collections. The next three counties—Kenosha, Rock, and Washington—are expected to collect an additional $933,300 combined.