Blurryeyed Loc: NC Mountains.

An 18% increase in 2021 revenues followed by a 19% increase in 2022..... Of course the liberals will still claim that Trump's tax cuts added trillions to the deficits....

From Politico.

Tax receipts are booming, thanks in part to spiking inflation, a new government report shows.

The Congressional Budget Office said Wednesday it now expects federal revenue this year to jump by a whopping $800 billion — equivalent to the Pentagon’s annual budget.


That t***slates to a 19 percent increase, the biggest one-year hike in more than 40 years, and it comes on top of an 18 percent increase last year.

Total receipts will amount this year to $4.8 trillion or 19.6 percent of the nation’s economy, CBO said, which would be the most since 2000 when the Treasury Department was swimming in cash thrown off by the dot-com bubble.

That’s a big reason why the agency sees the government’s budget deficit shrinking this year to $1 trillion.

The estimate comes as Democrats work to revive their big-ticket “reconciliation” plans with Senate Majority Leader Chuck Schumer (D-N.Y.) huddling with Sen. Joe Manchin (D-W.Va.) on a proposal that could potentially impose $1 trillion in new taxes aimed at corporations and the rich.

The surge in revenues is a result of rising inflation, CBO said, as well as the ongoing recovery from the c****av***s p******c.

The government taxes nominal wages, which are increasing thanks to inflation, even if most people’s pay is falling once rising prices are taken into account.

Much, though not all, of the tax code is indexed for inflation, and only imperfectly. Adjustments to things like where individual income tax brackets kick in are made in August, so they exclude subsequent increases in inflation.

“The Internal Revenue Service sets the adjustments to those income thresholds before the start of the tax year, which means that the adjustments are based in inflation in the previous year,” the report said. “Because of that lag, a larger share of income may be taxed at higher rates during periods of high inflation.”

Taxes paid by individuals — the biggest source of revenue for the government — are driving the increases, CBO said, with this year’s haul expected to jump by 28 percent. As a share of GDP, they would be the highest since the creation of the individual income tax in 1913.

Capital gains are jumping too, reflecting last year’s run-up in the stock market, clocking in at $262 billion — an 11.5 percent increase. That comes on the heels of last year’s 25 percent increase.

A combination of higher profits and the effects of inflation are pushing up corporate tax payments as well, which CBO now sees growing by 6 percent to $372 billion.

https://www.politico.com/news/2022/05/25/federal-tax-receipts-boom-powered-by-inflation-00035177

Triple G

Nowhere does it say the tax cuts have anything to do with the 2017 tax law. How do you reconcile that tax revenues from individuals when you also say they were the main be beneficiaries of the tax cuts? You've not shown any proof of the causation being the tax cuts.

Blurryeyed Loc: NC Mountains.

LOL... $3.4 Trillion in 2018 in federal revenue, $4.8 in 2022... So Trip, you're a smart guy, Biden and crew has done nothing to change the tax laws so are we not benefiting from the Trump tax cuts? 141% of 2018 tax receipts, in just 4 years Trip. Democrats quite often say that the Trump tax cuts have added "bigly" to our deficits, I would argue that it a falsehood.

Triple G

Show some evidence linking the two.

Here's what I found that says the same thing as the article you posted.

https://www.brookings.edu/blog/up-front/2022/06/03/the-booming-economy-not-the-2017-tax-act-is-fueling-corporate-tax-receipts/amp/

Blurryeyed Loc: NC Mountains.

Bottomline Trip, the Trump tax cuts did not blow a hole in the deficit, why is it that you can't admit the obvious? That is my point, it only stands to reason that if you allow people to keep more of their money then their disposable income ticks up, spending ticks up, and economic activity increases, but regardless of that fact, the Trump tax cuts did not damage federal intake as democrats claim.

dpullum Loc: Tampa Florida

summed up in the song... The Rich gets Richer the Poor gets Poorer ... Aint we got fun
https://www.google.com/search?client=firefox-b-1-d&q=lyrics+aint+we+got+fun
https://en.wikipedia.org/wiki/Ain%27t_We_Got_Fun

Triple G

Regardless of what fact? You've provided no facts; just your unsubstantiated belief in trickle down economics. C***d, shut downs, supply and labor issues, and economy coming back stronger and quicker than expected are all factors. The tax bill would not have paid for itself. Look up the numbers.

https://publicintegrity.org/ine******y-poverty-opportunity/taxes/trumps-tax-cuts/republicans-profit-congress/

Blurryeyed Loc: NC Mountains.

Well it would seem that the CBO's estimates in the article you cite just got debunked. For the life of me I don't understand how the democrats defend not doubling the Estate Tax exemption. Funny thing is that I am pretty sure that Pelosi and other congressional members have done estate planning to minimize the effect of those taxes will have on their heirs yet you folks think it good to take farms and small businesses from families when the parents pass on.

You have to remember that the money used to pay for and grow those assets already had taxes paid on them when they were earned..... I am not suggesting that the oligarchs not be exposed to such taxes when their wealth is measured in the billions but raising the threshold to 11 million is probably in all fairness still too low.

Triple G

You're going off on tangents with no explanation of what you're talking about and certainly no facts about 2017 tax law being good for average American citizens and not just the elite and corporations.

Blurryeyed Loc: NC Mountains.

My comments are critiquing some of the points the article you posted made, did you not read it?

Triple G

There's a lot in the article, but you'll have to point out specifics especially your reference to family farms.

DennyT Loc: Central Missouri woods

Standard ploy. When proven wrong move on to a new subject

Blurryeyed Loc: NC Mountains.

They were b***hing about raising the threshold of the inheritance tax in the article, each point I made can be tied back to the article.

Triple G

Do you mean the reduction in passed through income for taxation which had the following result? No wonder you don't want to point it out.

And while the provision did help small businesses in certain favored categories, the benefits of the pass-through deduction are heavily tilted toward the wealthy. Sixty-one percent of the benefits of this provision will go to the top 1 percent of taxpayers in 2024, according to the Joint Committee on Taxation, the congressional agency that analyzes tax bills.

What about this part? Your comment?

yet you folks think it good to take farms and small businesses from families when the parents pass on.

Blurryeyed Loc: NC Mountains.

That is exactly what I was talking about, a family farm can be land and equipment rich yet they are struggling to keep up with the loans and overhead that they need to deal with each year to fund the operations that won't produce proceeds for months, god forbid that a drought or heavy rains come in. Farmers aren't rich so when the government comes in and says that they owe inheritance taxes because of a death in the family that single event can cause them to lose their family farm, land, buildings, equipment, the value of which adds up. The same can be said for a family business, consider a business that is chugging along making a few hundred thousand in good years possibly struggling in bad years and all of the sudden they get a tax bill for millions because of a death. Again forcing the sale of the business because the required loan to pay that tax bill does not fit into the cash flows the business produces.