(CNSNews.com) - In October, the first month of fiscal 2020, real total federal tax revenues declined by 4.5 percent compared to last October while real total federal spending increased by 5.7 percent.
As a result of the disparity between total tax revenues and total spending this October, the government ran a deficit of approximately $134,468,000,000 for the month, according to the Monthly Treasury Statement.
In October 2018, the federal government collected $252,692,000,000 in total taxes, according to the Monthly Treasury Statement. Adjusted for inflation (using the Bureau of Labor Statistics inflation calculator), that equaled $257,149,600,000 in constant October 2019 dollars.
In October 2019, the federal government collected $245,520,000,000. That was $11,629,600,000—or 4.5 percent—less than the $257,149,600,000 in constant October 2019 dollars collected in October 2018.
In October 2018, the federal government spent a total of $353,183,000,000. That equaled $359,413,300,000 in constant October 2019 dollars.
In October 2019, the federal government spent $379,988,000,000. That was $20,574,700,00—or 5.7 percent—more than the $359,413,300,000 (in constant October 2019 dollars) than the government spent in October 2018.
The most the federal government ever spent in October was in October 2008 (the first month of fiscal 2009), when the government spent $402,024,000,000 (or $477,710,830,000 in constant October 2019 dollars). October 2008 was the month that then-President George W. Bush signed the Emergency Economic Stabilization Act, which created the Troubled Asset Relief Program to bail out insolvent banks.
While collecting a total of $245,520,000,000 in taxes this October and spending a total of $379,988,000,000, the federal government ran a monthly deficit of $134,468,000,000.
That was $32,204,300,000 more than the $102,263,700,000 deficit (in constant October 2019 dollars) that the federal government ran in October 2018. But it was significantly less than the deficits that the federal government ran in fiscal 2009 ($281.8 billion in constant October 2018 dollars), fiscal 2010 ($210 billion), fiscal 2011 ($165.2 billion) and fiscal 2016 ($147.7 billion).
Like total federal tax revenues, federal individual income tax revenues and federal corporation income tax revenues—which are subsets of total federal tax revenues—both declined compared to last October.
In October 2019, the federal government collected $126,389,000,000 in individual income tax revenues. That was down $4,750,250,000—or 3.6 percent--from the $131,139,250,000 in individual income taxes (in constant October 2019 dollars) that the federal government collect in October 2018.
The federal government collected $6,571,000,000 in corporation income taxes in October 2019. That was down $1,570,120,000—or 19.3 percent--from the $8,141,120,000 (in constant October 2019 dollars) that the government collected in October 2018.
The three largest categories of federal spending in October were for the Department of Health and Human Services ($105,391,000,000), the Social Security Administration ($93,681,000,000), and the Department of Defense and Military Programs ($68,233,000,000).
The federal government also spent $30,319,000,000 in interest on Treasury securities in October.