When you shop online, the taxes you pay will most likely not come back to your local area. That depends on what stores you shop at when you're online.
The City of Lufkin knows that, unless you shop online at a local store, those tax dollars are going elsewhere. The director of accounting for the city says, even with more people shopping online, the city's overall sales tax revenue has been up.
Douglas Wood said, "I know that our overall sales tax revenue are up about 3% to 4% this year. And we had a pretty good increase last year. All but two months, we saw some type of increase. Last year, we went from $8.7 million to $9.1 million in sales tax from '03 to '04, so we saw a pretty healthy increase."
The new shopping strip, the Academy, and Home Depot are helping raise those numbers in Lufkin. The city will know just how much of a difference these stores are making this holiday season when the city gets its sales tax check in February.