The federal government recorded a $160.3 billion surplus in April as revenues for the month jumped to an all-time high. But even with a flood of tax receipts, the deficit so far this year is running 37.7% higher than a year ago.
The Treasury Department reported Friday that the deficit for the first seven months of the budget year that began Oct. 1 totals $530.9 billion, compared to a deficit of $385.5 billion for the same period a year ago.
The Trump administration projected in March that this year's deficit will hit $1.1 trillion, up from last year's deficit of $779 billion. The administration is projecting the deficit will stay above $1 trillion for four straight years before starting to decline for the rest of the decade.
The deficits have increased following congressional passage in December 2017 of a $1.5 trillion tax cut promoted by President Donald Trump as well as a boost last year in spending on domestic and military programs.
The Congressional Budget Office is projecting that the deficit this year will climb to $896 billion, smaller than the administration's $1.1 trillion forecast but still 15% higher than last year.
The CBO shows slightly smaller deficits in the short-term, projecting that they will remain below $1 trillion through 2021 but after that will top $1 trillion and will remain above the $1 trillion mark for the rest of the decade.
While the government runs deficits in most months, April has been a surplus month for 60 of the past 65 years, reflecting the flood of revenue that comes in with the annual deadline for individuals to pay tax bills.
https://abcnews.go.com/Business/wireStory/us-government-records-1603-billion-april-surplus-62965700