By Surprising Jump in Tax Revenues Is Curbing Deficit
EDMUND L. ANDREWS
Published: July 9, 2006
WASHINGTON, July 8 — An unexpectedly steep rise in tax revenues from corporations and the wealthy is driving down the projected budget deficit this year, even though spending has climbed sharply because of the war in Iraq and the cost of hurricane relief...
On Tuesday, White House officials are expected to announce that the tax receipts will be about $250 billion above last year's levels and that the deficit will be about $100 billion less than what they projected six months ago. The rising tide in tax payments has been building for months, but the increased scale is surprising even seasoned budget analysts and making it easier for both the administration and Congress to finesse the big run-up in spending over the past year.
Tax revenues are climbing twice as fast as the administration predicted in February, so fast that the budget deficit could actually decline this year.
The main reason is a big spike in corporate tax receipts, which have nearly tripled since 2003, as well as what appears to be a big increase in individual taxes on stock market profits and executive bonuses...
Amazing but true. You cut corporate taxes, and corporate reciepts increase. Reptilican-faith based perpetual motion.
What, you don't believe it? Well look at the data they publish with the article, that all the Good Feelings are based on.
"Figures are for fiscal years are not adjusted for inflation". "Tax revenues as a share of gross domestic product are below normal". Who needs all that book learning?
It could decline, the receipts have tripled. Almost. Well almost doubled anyway. Sort of.
It's All Good!
1 comment:
Tax revenues could go up eightfold and still bankruptcy of Empire will not be avoided.
Shh. Don't tell anyone. They're happy now.
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