First quarter withholding-tax collections came in strong with a 5% annual growth (Note: 2011 looks weak on this chart because of the tax cut).
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Over the last 4 weeks, the annual growth rate of federal withholding-tax collections has ticked up from 4.2% to 4.3%.”

 

Viewing the job market through the withholding-tax data, we see steady year-over-year growth continuing from February to March. Friday’s jobs report may or may not meet expectations of +201,000 jobs, but odds of the report containing a nasty surprise look small.

 

Source:
Daily Jobs Update
by Matt Trivisonno

Over the last 4 weeks, the annual growth rate of federal withholding-tax collections has ticked up from 4.2% to 4.3%.”

Category: Employment, Taxes and Policy

Please use the comments to demonstrate your own ignorance, unfamiliarity with empirical data and lack of respect for scientific knowledge. Be sure to create straw men and argue against things I have neither said nor implied. If you could repeat previously discredited memes or steer the conversation into irrelevant, off topic discussions, it would be appreciated. Lastly, kindly forgo all civility in your discourse . . . you are, after all, anonymous.

9 Responses to “Withholding-Tax Collections Tick Up”

  1. Arequipa01 says:

    Yay! We’re saved.

    (BTW do not read S.B. 1813 closely.)

  2. Jojo says:

    Viewing the job market through the withholding-tax data, we see steady year-over-year growth continuing from February to March. Friday’s jobs report may or may not meet expectations of +201,000 jobs, but odds of the report containing a nasty surprise look small.
    ———-
    Might you not simply be seeing people getting paid more $$ than they were? That would result in more taxes be withheld.

  3. Jojo,

    Yes, that is possible, though unlikely. But even if everybody got a raise, that would still have the same effect on the economy: an increase in spending power by the consumers/workers.

    Matt

  4. minesweeper says:

    One thing I haven’t seen mentioned is that the higher mass transit tax benefit expired at the beginning of 2012. It decreased from $230/month back to $125. This has the effect of making gross income look larger, which will increase tax withholding incrementally.

    Over the course of a year, that’s up to $1260 that’s included back in gross income. For someone making $50K, that appears like a 2.5% increase Y/Y even though nothing has really changed.

    Obviously, this only affects a few people on the margins, but it’s likely to account for a small piece of the increase. Although, I haven’t seen any statistics on how many people were affected by this change.

  5. silverfox8028 says:

    Come-on…Just put in the real tax revenue numbers…use attributes to comment on possible influences…and let us make up our minds on what is really happening. Where is all this “truthful data with correct interpretations without bias” philosophy? You can’t tell anything…for sure… from the presented data

  6. VennData says:

    This can’t be… just look at how bad you feel every time you see a SuperPAC ad. That’s the REAL America, what’s left of it. Ignore the data. Put all your money into bonds and gold. Head for the hills! Apocalypse 2012! The end is nigh!!!

    I am Mitt Romney and my friends paid for this message.

  7. It is the real data – the growth rate calculated from the real data. You know? Like they calculate GDP? It’s an accepted way of presenting data amongst normal people.

  8. DrSandman says:

    Tax Cut? In 2011? Er?

    There is a tax holiday from insufficient collection of the Social(ist) Security tax…