The federal government has a serious spending and taxation problem. And no one seems to be doing a damn thing about it.
The federal government raked in a record of approximately $2,472,542,000,000 in tax revenues through the first eleven months of fiscal 2013, which ran from Oct. 1, 2012 through the end of August, according to the Monthly Treasury Statement for August.
That is up about $285 billion from the approximately $2,187,527,000,000 in taxes the government took in through August of fiscal 2012.
Despite these record tax revenues, the federal government still accumulated a $755 billion deficit in the first eleven months of fiscal 2013. Total federal spending through the first eleven months of the fiscal year was $3.228 trillion.
At the end of last year, the president struck a deal with Republicans in Congress to enact legislation that increased taxes. This included pushing the top income tax rate from 35 percent to 39.6 percent, increasing the top tax rate on dividends and capital gains from 15 percent to 20 percent, and phasing out personal exemptions and deductions starting at an annual income level of $250,000.
An additional 3.8 percent tax on dividends, interests, capital gains and royalties–that was embedded in the Obamacare law–also took effect this year.
The record of $2,472,542,000,000 in federal tax revenues through August is in non-inflation-adjusted dollars. However, even when adjusted for inflation, the $2,472,542,000,000 brought in through federal taxes in the first eleven months of fiscal 2013 exceeds the real federal tax revenue in any of the last 16 years except for 2007, when federal tax revenues were approximately $2,282,318,000,000 in 2007 dollars and $2,571,309,020,000 in 2013 dollars.
The largest single bloc of federal tax revenue so far this year has come in the form of individual income tax payments, which were approximately $1,175,536,000,000 through the first eleven months of fiscal 2013. That is about $116.017 billion more than the approximately $1,015,419,000,000 in individual income taxes that was collected in the first eleven months of fiscal 2012.
Fiscal year federal revenues (in millions) through August: READ MORE