KBRA Releases Research – COVID-19 Infects Sales Tax Revenues

NEW YORK–(BUSINESS WIRE)–Kroll Bond Rating Agency (KBRA) releases research on nationwide sales tax collection trends and municipal sales tax revenue bonds.

The COVID-19 pandemic has adversely affected economically sensitive state and local revenue sources. Sales tax collections declined sharply in the early months of the pandemic, although recent year-over-year retail sales activity data suggests a budding recovery. Despite this uneven performance and potential for further volatility, KBRA believes sales tax revenue bonds are well secured and coverage remains strong, although individual municipality sales tax performance may not align with national trends due to localized retail issues. KBRA will monitor on a credit-by-credit basis.

Click here to view the report.

Related Publications

About KBRA and KBRA Europe

KBRA is a full-service credit rating agency registered with the U.S. Securities and Exchange Commission as an NRSRO. In addition, KBRA is designated as a designated rating organization by the Ontario Securities Commission for issuers of asset-backed securities to file a short form prospectus or shelf prospectus. KBRA is also recognized by the National Association of Insurance Commissioners as a Credit Rating Provider and is a certified Credit Rating Agency (CRA) with the European Securities and Markets Authority (ESMA). Kroll Bond Rating Agency Europe is registered with ESMA as a CRA. Kroll Bond Rating Agency Europe is located at 6-8 College Green, Dublin 2, Ireland.