New York’s sales tax collections rose 57.8% in May from the same month a year ago, another sign the state’s economy is rebounding, the comptroller said on Wednesday. Tom DiNapoli.

Revenue reached $ 140 billion from sales tax in May, an increase of $ 530 million from last year when the COVID-19 pandemic largely shut down most businesses in New York.

“For the second month in a row, local sales tax collections have grown tremendously. Strong collections in May show the economy continues to improve as spending rebounds from the effects of the COVID-19 pandemic and the shutdown it created in New York State in March 2020 ” , said DiNapoli. “Combined with direct federal aid and restored state aid, the sales tax clawback will help New York City’s local governments recover from the effects of last year’s revenue deficits. “

The sales tax is a key barometer for local governments, helping them to keep other taxes low and as a sign of the overall health of the consumer economy.

The news comes as New York on Tuesday decided to roll back most of its remaining COVID-related restrictions on businesses, including social distancing guidelines and cleaning requirements, as 70% of adults have received at least one injection. COVID vaccine.

In New York City, the engine of the state’s economy, sales tax revenues reached $ 636 million, an increase of 51.4%. Meanwhile, all counties outside of New York City also saw double-digit collection increase year over year. Allegany County hit the highest swing of 88.2%, DiNapoli said.