Federal deficit increases 26% to $984 billion for 2019… Highest in 7 years!

  • The U.S. Treasury on Friday said that the federal deficit for fiscal 2019 was $984 billion, a 26% increase from 2018 but still short of the $1 trillion mark.

  • The U.S. government also collected nearly $71 billion in customs duties, or tariffs, a 70% increase compared to the year-ago period.

  • The gap between revenues and spending was the widest in seven years. Defense, Medicare and interest payments ballooned the shortfall.

The U.S. Treasury on Friday said that the federal deficit for fiscal 2019 was $984 billion, a 26% increase from 2018 but still short of the $1 trillion mark previously forecast by the administration.

The gap between revenues and spending was the widest it’s been in seven years as expenditures on defense, Medicare and interest payments on the national debt ballooned the shortfall.

The government said corporate tax revenues totaled $230 billion, up 12%, thanks to a rebound in the second half of the year. Individual tax revenues rose 2% to $1.7 trillion.

Receipts totaled $3.4 trillion, up 4% through September, while federal spending rose 8%, to $4.4 trillion.

The U.S. government also collected nearly $71 billion in customs duties, or tariffs, a 70% increase compared to the year-ago period. As a percentage of U.S. economic output the deficit was 4.6%, 0.8 percentage points higher than the previous year.

www.cnbc.com/2019/10/25/federal-deficit-increases-26percent-to-984-billion-for-fiscal-2019.html

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