Posted on 05/08/2018 7:54:02 AM PDT by SeekAndFind
The Congressional Budget Office is reporting that the federal government took in $515 billion in April. With outlays only $218 billion, the $190 billion surprlus represents the largest in history.
What's more, the CBO said that the surplus was $40 billion more than expected.
Analysts said they’ll have a better idea of what’s behind the surge as more information rolls in, but for now said it looks like individual taxpayers are paying more because they have higher incomes.
“Those payments were mostly related to economic activity in 2017 and may reflect stronger-than-expected income growth in that year,” the analysts said in their monthly budget review. “Part of the strength in receipts also may reflect larger-than-anticipated payments for economic activity in 2018. The reasons for the added revenues will be better understood as more detailed information becomes available later this year.”
Official numbers are due out from the Treasury Department in a few days, but the CBO is usually accurate to within a couple billion dollars.
April is always a strong month for government finances, with taxpayers filing their returns for the previous year and settling up what they owe, even as expenditures often dip for the month.
But this year was particularly strong, with receipts jumping 13 percent compared to a year ago.
The news couldn’t come at a better time for President Trump and congressional Republicans, who were facing major questions about the damage last year’s tax-cut package might do to future deficits. Just a month ago the CBO projected that the deficit would quickly soar back to $1 trillion a year.
So far, seven months into fiscal year 2018, the government is running a $382 billion deficit.
(Excerpt) Read more at americanthinker.com ...
NOT ALL ROSES:
So far, seven months into fiscal year 2018, the government is running a $382 billion deficit. That’s $37 billion worse than last year’s figure through seven months, chiefly because spending has surged 5 percent so far this year.
Higher inflation is driving up the government’s debt payments, while Homeland Security disaster relief, Social Security benefit payments and the Defense Department also saw significant increases.
Give the things time.
I agree. I have maintained for years that Economics 101 aught to be a mandatory high school class. It would be the death of the Democrat party.
I see this merited a “mention” on Drudge, which is a hell of a lot more than I expect from the MSM.
???, how do they cook these numbers up?
Happy days are here again!
p
“stronger than expected”
515-218=190 surplus? Where is the other 107 billion? Must be common core math!
Then add on top of that, DEPORT MORE ILLEGAL TIT SUCKERS.
We the People could get another tax break.
Cut taxes and revenues go up. It’s not rocket science.
“That’s $37 billion worse than last year’s figure through seven months, chiefly because spending has surged 5 percent so far this year.”
The only way to fix the deficit is a Constitutional Amendment that requires government to spend 10% less than receipts until the accumulated deficit it paid off. Congress will be forced to prioritize spending, cut entitlements and reduce the size of the bloated federal workforce.
The Amendment should require:
1) Congress to submit individual spending bills by department to the president each year instead of one giant omnibus bill. Bills must be on the president’s desk to veto or sign by July 1 before the October 1 fiscal year start.
2) If the president vetos individual spending bills, Congress must stay in session until it passes a bill that receives the president’s signature.
3) If the department spending bill is not passed by the October 1 start of the new year, the president will be required to establish and spend against a baseline budget 10% below the prior year actual spending level until a budget is passed and signed into law.
4) At mid year the president will present a budget report to Congress. If spending is running behind receipts the president will present a list of cuts to Congress to bring spending in line receipts. The cuts will go into effect automatically unless Congress passes a bill with alternative, offsetting cuts.
5) All fines and court settlements collected by the government will be applied to paying down the national debt instead of being spent by departments on discretionary items such as grants to social activist organizations or unbudgeted spending items.
6) All bonus performance standards for federal employees will include an aggressive spending/cost reduction requirement worth at least 50% of total bonus payout. If a department spends 100% or more of its budget in a given year, no bonuses will be paid to bureaucrats in that department.
7) Once the accumulated deficit is paid the federal government will be required to keep the budget in balance and build a surplus to be used in time of emergency. All budget spending must be financed by tax revenue increases or cuts in spending items unless a state of national emergency is declared by a 3/4 vote of both houses of Congress.
8) The budget baseline will be established as prior year spending, not prior year plus an inflation factor.
9) The concept of “non-discretionary spending” will be eliminated. All federal spending will be discretionary and subject each year to cuts by Congress or the President.
10) No spending by the federal or state governments may be mandated by a federal court or judge.
Thanks SeekAndFind. Sure, but other than peace in Korea, tax cuts, full employment, and relief from predatory bureaucracy, what has President Trump really done... wait, what?
Later it says “So far, seven months into fiscal year 2018, the government is running a $382 billion deficit”
Clearly we are not running surpluses.
Maybe they count the annual income tax revenues against one month of spending, one year of revenues against one month of spending.
Am I missing something? 515 in revenue, minus 218 in outlays, equals 297 in surplus, no?
There is something wrong with the numbers. Here is the link from the CBO itself. Looks like the data was misquoted.
https://www.cbo.gov/system/files/115th-congress-2017-2018/reports/53821-mbr.pdf
The CBO will stick to static analysis until Hell freezes over.
Our 'teachers' aren't able to teach reading and writing... I suspect 'economics' would go the way of women's studies - down a road to insanity.
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