Park City ends fiscal year by shattering previous sales tax revenues
People have been spending money: Park City broke records in 2021 for sales tax and transient room tax - and it’s breaking those records again.
Park City’s core sales tax revenues in fiscal year 2022 were up 33% over the previous year.
The lodging industry saw massive revenue growth too. Transient room tax, or TRT, was two-thirds higher than the previous record high. That’s collected through a 1% tax on hotel room rates.
Sales tax from shopping goes into the city’s general fund, and TRT taxes go into the capital fund. The city’s tax coffers fund both special projects and regular operating costs.
When the city adopted its annual budget in June, it estimated it would receive sales tax revenues of about $13 million. The actual figure ended up being closer to $19 million, a 42% difference.
Taxes for the city’s transportation fund, which are collected partially through resort purchases, were up a third over last year.
The months that smashed expectations came during the ski season, November through March.
Sagan Woodbury manages Woodbury Jewelers on Main Street, and said he could attest to last year’s endless shopping.
“It’s been a lot quieter than general, like it just seems from last year," Woodbury said.
"But last year was so kind of crazy. I think for us though we had just as good of a year as we did last year, which is great, last year was record-breaking which was awesome.”
He said he’d like to see the city do more to draw in visitors that fit his shopping demographic.
“I think it is smart for us to continue to focus on kind of the bigger buyer - the person that has a little bit more money. Of course I’m biased because we’re a fine jewelry store. But there is still that traffic where it’s people that they weren’t going to buy anything on Main Street regardless what happens. That's fine, but I think especially on Main Street to really focus and continue to cater to people - who they’ve got money to spend.”
Woodbury said some of the city’s annual events don’t exactly bring in fine jewelry customers.