- Joined
- Aug 10, 2013
- Messages
- 20,231
- Reaction score
- 21,633
- Location
- Cambridge, MA
- Gender
- Male
- Political Leaning
- Slightly Liberal
Individual income and payroll (social insurance) taxes together fell by $1 billion (or less than 1 percent).
Corporate income taxes declined by $9 billion (or 15 percent). That decline largely reflects changes made by the 2017 tax act, which lowered the income tax rate for most corporations to 21 percent from the prior top statutory rate of 35 percent. For most corporations, the first quarterly estimated tax payment in this fiscal year was due on December 17; those payments were largely for 2018 taxes.
- Amounts withheld from workers’ paychecks decreased by $6 billion (or 1 percent). That change reflects growth in wages and salaries that was more than offset by a decline in the share of income withheld for taxes. In January 2018, the Internal Revenue Service issued new withholding tables to reflect changes made by last year’s major tax legislation (Public Law 115-97) that took effect at the beginning of the current calendar year. All employers were required to begin using the new tables by February 15, 2018. Hence, the new withholding rates were in effect during the first quarter of this fiscal year, but not during the same quarter last year.
- Nonwithheld payments of income and payroll taxes rose by $5 billion (or 11 percent), whereas individual income tax refunds fell by $1 billion (or 3 percent). Those two sources of payments are generally small at this point in the fiscal year.
Receipts from other sources, on net, rose by $12 billion (or 21 percent).
- Excise taxes increased by $9 billion (or 46 percent), partly from payments received in October for the tax on health insurance providers. In 2017, that tax was subject to a one year moratorium that was lifted for 2018. The moratorium will be in effect again for one year in 2019.
- Customs duties increased by $8 billion (or 83 percent), largely because of new tariffs imposed by the Administration during the past year.
- Those increases were partially offset by smaller remittances from the Federal Reserve. Those payments to the Treasury declined by $5 billion (or 26 percent), largely because short-term interest rates were higher, leading the central bank to pay depository institutions more interest on reserves. Those larger payments by the Federal Reserve led to smaller remittances to the Treasury.
CBO's latest Monthy Budget Review is out and the data for the first quarter of FY2019 are in.
In the first quarter of FY2019, relative to the first quarter of FY2018 (i.e., the last quarter prior to passage and implementation of the tax cuts):
Overall revenues are being propped up right now by tariff revenues and an ACA tax on health insurers.
Meanwhile, in other news, nominal Medicare spending growth over that period was 1.7%. For context, if 10,000 Boomers are aging in daily, enrollment growth alone was likely 6-7%. That's pretty incredible.
Your thread topic is misleading, total tax revenue is UP in the first qtr. of 2019 and set records for calendar year 2018 and that defies liberal logic that tax cuts reduce federal revenue
Revenue from the taxes that were cut (individual and corporate income taxes) is down. Revenue from tariffs is up thanks to the trade war and revenue from the ACA insurer tax is up. This was all covered in the OP.
It really pains me to see any right winger/Republican clinging to the ridiculous fantasy that a cut in tax rates will result in the collection of more revenues than if the rates that had not been cut. Yes, that theoretically can happen at high rates but not at the rates we are seeing now. There are arguments for a tax cut but bumping up federal revenues is certainly not one of them
Surprise! When you cut taxes, tax revenues drop. Who'da thunk it?!?CBO's latest Monthy Budget Review is out and the data for the first quarter of FY2019 are in.
Surprise! When you cut taxes, tax revenues drop. Who'da thunk it?!?
CBO's latest Monthy Budget Review is out and the data for the first quarter of FY2019 are in.
In the first quarter of FY2019, relative to the first quarter of FY2018 (i.e., the last quarter prior to passage and implementation of the tax cuts):
Overall revenues are being propped up right now by tariff revenues and an ACA tax on health insurers.
Meanwhile, in other news, nominal Medicare spending growth over that period was 1.7%. For context, if 10,000 Boomers are aging in daily, enrollment growth alone was likely 6-7%. That's pretty incredible.
No, it is you who is lying. Corporations overwhelmingly bought back their own stock, not gave the money out in wage increases.No, sorry that is a lie, corporate taxes are down but so what??? they paid out more in bonuses, pay increases, and benefit enhancements reducing taxable income Treasury data shows FIT revenue is up. I suggest a review of the treasury data not CBO and by the way we are talking the entire fiscal year not just one month.
Again I will ask you the same question, SO WHAT if FIT Revenue(which it isn't) is down, people with more spendable income need less of that govt. help and the increases in Sales Tax revenue gives states more revenue to provide for the social services
You're right -- because the rich just don't have enough money. They need those stock buybacks more than those old folks need Medicare!Not down enough, sadly. We need to cut income and corporate taxes more, and raise payroll taxes since we spend most of taxes on social spending. Plus payroll tax is more fair. I say we eliminate the income tax and corporate tax alltogether and go to one flat 20% payroll tax.
You're right -- because the rich just don't have enough money. They need those stock buybacks more than those old folks need Medicare!
No, it is you who is lying. Corporations overwhelmingly bought back their own stock, not gave the money out in wage increases.
Wake me you make a serious point.
No, it is you who is lying. Corporations overwhelmingly bought back their own stock, not gave the money out in wage increases.
No, it is you who is lying. Corporations overwhelmingly bought back their own stock, not gave the money out in wage increases.
CBO's latest Monthy Budget Review is out and the data for the first quarter of FY2019 are in.
In the first quarter of FY2019, relative to the first quarter of FY2018 (i.e., the last quarter prior to passage and implementation of the tax cuts):
Overall revenues are being propped up right now by tariff revenues and an ACA tax on health insurers.
Meanwhile, in other news, nominal Medicare spending growth over that period was 1.7%. For context, if 10,000 Boomers are aging in daily, enrollment growth alone was likely 6-7%. That's pretty incredible.
Why does what a rich person have and gets to keep of their own money bother you so much? I am far from rich but no rich person has ever prevented me from joining them or hurt me, my family in any way
Corporates buyback their own stock at the time. This would have happened with or without a tax reduction. When Corporations have more excess cash, the only thing you can do is buyback stock...
This is especially true if you want to maintain your capital structure. You're bitching about a non-issue.
That not the only thing they CAN do. Or even that they do. They can pay dividends, expand, invest in assets that appreciate, etc.
And that is exactly what many corporations did but the major question remains why is corporate tax revenue growth so important to you? I find it quite concerning how so many people always focus on tax revenue growth to the govt. but never about shifting things like social expenses back to the states and local governments. In 2018 states and local gov't set records in tax revenue collections, consumer spending set records as did charitable giving. Based upon 2018 results isn't it time to reduce the size of the federal gov't? Isn't it time to pass a budget like the one Trump proposed for 2019?
Again, I think youre confusing me with someone else. I want LESS corporate tax.
I find it quite concerning how so many people always focus on tax revenue growth to the govt. but never about shifting things like social expenses back to the states and local governments.
No, it is you who is lying. Corporations overwhelmingly bought back their own stock, not gave the money out in wage increases.
IIRC, every time I suggest we shift Medicare benes like you off the backs of federal taxpayers and onto the rolls of your state's Medicaid program, you throw a ****fit.
We use cookies and similar technologies for the following purposes:
Do you accept cookies and these technologies?
We use cookies and similar technologies for the following purposes:
Do you accept cookies and these technologies?