With CSU's enrollments falling over the past two years, causing the institution to brace for enrollment-based budget cuts, it is especially important that state tax revenues remain strong so that baseline support for CSU is not threatened. In that regard, Ty Tagami's recent report for Capitol Beat brings some good news. Tagami explains that Georgia tax revenue continued rising in July, bolstered by strong receipts from the sales and use tax, which sent more money to local governments. Net tax collections were $2.57 billion, up $78.1 million from July 2025. According to Tagama, this 3.1% increase came despite a 2.1% year-over-year drop in collections from the individual income tax. That $27.1 million decline from July of last year was, as Tagami writes, counterbalanced by soaring receipts from the corporate income tax, which rose 34.3%, up $18.4 million. As Capitol Beat notes, the decline in individual income tax revenue continues a slide from June, when individual income tax collections fell 6.7%, or nearly $100 million, driven significantly by rising tax refunds. The recent increase in corporate income tax revenue builds on a 7% year-over-year increase in June. Tagami explains that the July numbers, released by Gov. Brian Kemp’s office, indicated that shoppers were helping to prop up tax revenues. Net proceeds from the sales and use tax rose 10% year over year, up $79.2 million, for a total of $875.3 million. Gross receipts totaled $1.78 billion, up $162.8 million from July of last year. According to Tagami's report for Capitol Beat, the overall increase occurred despite another decline in motor fuel tax collections. The $10.6 million year-over-year drop in July came despite the end in early June of a gas tax suspension that Kemp and lawmakers had approved to counter rising prices during the Iran conflict. The motor fuel tax fell had fallen nearly $197 million in June compared to the prior year, nearly the same amount as in May when the suspension first went into effect, Tagami notes.
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