Tyler TX (KETK) — Beer and wine sales may be playing a role in the spike of sales tax revenue in Tyler and Precinct 2.
In January of last year state tax revenue was at 3% and this year the numbers show it's almost tripled in just a month.
Tom Mullins President and CEO of the Tyler Area Chamber of Commerce believes beer and wine sales are the primary reason for this increase.
"it's pretty clear to us one of the biggest reasons its come up so high is because of beer and wine sales," said Mullins.
The Chamber of Commerce hired an Economist last summer to see what kind of potential impact beer and wine sales would have on Tyler and Precinct 2.
The assessment showed the city and Precinct 2 were losing almost $5 million a year in sales tax revenue.
Mullins says the numbers don't lie, alcohol sales are generating money.
"We saw it as increased revenue, activity increase, sales and tax revenue consumer convenience."
But the city did not have a comment about this.
City officials say they do not have enough information to determine what sector of sales generated the most revenue.
Once they see more detailed data, city officials say they will have more information in a couple more weeks.
But some cities already see a revenue increase due to alcohol sales.
Noonday's sales tax revenue has increased by over 45%.
Mayor Mike Turman says the alcohol sales have helped his city more than he expected.
"Looking at this month compared to other month it looks like its going to run $2500 more."