America's independent, non-partisan advocate for overburdened taxpayers.

 

Blog Contributors

Budget

The Budget: CBO's (Updated) Look Ahead
Posted By: Michael Tasselmyer - 05/15/13

On Tuesday, the Congressional Budget Office (CBO) released its updated baseline and budget projections for Fiscal Years 2013-2023. The report is an update of CBO's February projections, and provides a detailed forecast of where economists see tax and spending patterns heading over the next ten years.

You can read the full report by clicking the link above. Below are a few highlights that I thought were worth mentioning in the limited room that a blog post affords me.

The deficit in Fiscal Year 2013 will be lower than it has been in recent years.

CBO lowered its estimate for FY13 deficits to $642 billion, nearly $200 billion lower than its February estimate of $845 billion. This is certainly good news, and indicates a slight shift towards more sustainable deficit levels -- at least in the short term.

However, it represents the effects of certain "extraordinary" circumstances, namely:

  • Large dividend payments ($95 billion worth) from Fannie Mae and Freddie Mac to pay back amounts they borrowed from the government, which CBO counts as "negative outlays." These are one-time effects that don't really say much about long-term trends.
  • Major increases in tax revenues this past April, probably a result of high-income earners shifting much of their taxable income to 2012 in order to avoid looming higher rates in tax year 2013. Corporate tax receipts were also higher than expected. Again, this effect is much higher on 2013 deficits than in CBO's long-term averages.

By 2015, the deficit will fall to 2.1 percent of GDP. It'll rise again after that.

In 2023, CBO expects the deficit to get back to around 3.5 percent of GDP, higher than historical averages. Debt held by the public should hover in the 71-76 percent of GDP range over that time:

debt_cbo_514

Health care, Social Security, and interest payments will drive future spending.

By CBO's estimates, Medicaid, Medicare, and Social Security spending will be lower over the next 10 years than forecast in February. However, those costs will still be driving government spending in the coming decade even as other discretionary spending decreases as a percentage of GDP:

spending_cbo_514

Of course, with economic forecasts come a degree of uncertainty, so these projections may change as new laws are enacted. However, they offer a useful point of comparison against which various policy proposals can be measured when it comes to their effects on the budget.

1 Comments | Post a Comment | Sign up for NTU Action Alerts


The Late Edition: May 9, 2013
Posted By:  - 05/09/13

Today’s Taxpayer News!

Pete Sepp weighs in on the future of the so-called “Marketplace Fairness Act” in this US News op-ed.  

Thanks to Governor Martin O'Malley and Lt. Governor Anthony Brown, Marylanders will endure 40 different tax and fee increases totaling an additional $20 billion from 2007 through 2018. Read the full story from the Potomac Patch.

0 Comments | Post a Comment | Sign up for NTU Action Alerts


The Late Edition: May 8, 2013
Posted By:  - 05/08/13

Today’s Taxpayer News!

NTU’s Pete Sepp applauds Senator Rand Paul’s recent proposal to repeal the burdensome "Foreign Account Tax Compliance Act" (FATCA), which taxes Americans abroad. Read the full story from the Wall Street Journal.

This piece from cincinnati.com explains that not only does the President’s 2014 budget proposal raise taxes by $1.1 trillion over a decade and increase spending by $800 billion; it never balances.  

One of the drug manufacturers which originally supported and lobbied for “Obamacare” is now calling the law ‘catastrophic’, says the Daily Caller

1 Comments | Post a Comment | Sign up for NTU Action Alerts


The Late Edition: May 7, 2013
Posted By:  - 05/07/13

Today’s Taxpayer News!

NTU’s Pete Sepp speaks about the negative effects of the “Marketplace Fairness Act”, which passed the Senate yesterday and is headed to the House to be voted on. Read more from the Christian Science Monitor.

The federal government has managed to run a $489 billion dollar deficit since the fiscal year began, according to the Congressional Budget Office.

0 Comments | Post a Comment | Sign up for NTU Action Alerts


The Taxpayer’s Tab, Plus Americans on ObamaCare and Excise Taxes - Speaking of Taxpayers, May 3
Posted By:  - 05/06/13

Subscribe to NTU's podcast "Speaking of Taxpayers" via iTunes!

   
   
   
   
   
   

NTUF's Dan Barrett joins Pete and Doug to discuss the latest Taxpayer's Tab issues, plus new polls reveal Americans' lukewarm reaction to ObamaCare and excise taxes for junk foods.
1 Comments | Post a Comment | Sign up for NTU Action Alerts


The Late Edition: May 6, 2013
Posted By:  - 05/06/13

Today’s Taxpayer News!

The Reason Foundation weighs in on the federally funded municipal broadband program, and includes NTU’s analysis of Utah’s costly UTOPIA initiative.  

The New York Times takes a look at ever-increasing airline taxes, and possibilities on the table for the future of air travel.

0 Comments | Post a Comment | Sign up for NTU Action Alerts


The Late Edition: May 2, 2013
Posted By:  - 05/02/13

Today’s Taxpayer News!

NTUF’s Dan Barrett weighs in on the spending records of four U.S. House members from New Jersey who may run for the Senate in 2014. 

Fiscally conservative groups are warning Congress that any attempt to raise the debt-ceiling will need to include a balanced budget amendment, according to The Hill.

0 Comments | Post a Comment | Sign up for NTU Action Alerts


The Late Edition: April 23, 2013
Posted By:  - 04/23/13

Today’s Taxpayer News!

Obama's 2014 budget contains damaging energy policy goals, says NTU’s Pete Sepp in this US News  piece.  

Gas prices are high enough without adding additional state taxes onto them, say 66% of the public. Read the full story from CNN.

0 Comments | Post a Comment | Sign up for NTU Action Alerts


President Obama’s 2014 Budget, Plus State Cigarette Tax Plans - Speaking of Taxpayers April, 12
Posted By:  - 04/17/13

Subscribe to NTU's podcast "Speaking of Taxpayers" via iTunes!

      
   
   
   
   
   

Pete and Doug are joined by NTUF's Director of Research, Demian Brady, to discuss the President's 2014 budget proposals. Plus, NTU's State Affairs Manager, Lee Schalk, has an update on cigarette tax schemes.

0 Comments | Post a Comment | Sign up for NTU Action Alerts


The Late Edition: April 11, 2013
Posted By:  - 04/11/13

Today’s Taxpayer News!

NTU joins a broad coalition of activists in support of a bipartisan effort to reform ineffective and costly fuel mandates.

NTUF did a thorough analysis of what President Obama’s 2014 budget means for taxpayers.

0 Comments | Post a Comment | Sign up for NTU Action Alerts


 

Items 71 - 80 of 200  Previous12345678910Next