WH Predicts: Taxes Will Hit Record $3T in FY14--$29,673 Per Full-Time Worker
(CNSNews.com) - The latest Monthly Treasury Statement, which was released on Wednesday afternoon, relies on the estimate made by the White House Office of Management and Budget to say that federal tax revenues will top $3 trillion for the first time in the nation’s history in fiscal 2014.
In fact, the record $3,023,004,000,000 in tax revenues that the White House is predicting the federal government will rake in during fiscal 2014 not only exceeds the inflation-adjusted revenue taken in by the government in any previous year, it also equals $29,673 in tax revenue for every full-time worker in the country.
It is also equals $9,534 for every man, woman and child currently living in the country.
Until now, the record-setting year for inflation-adjusted federal tax revenues was fiscal 2007. In that year, the federal government brought in $2,899,644,380,000 in constant 2013 dollars.
If the White House is correct that total federal tax receipts will hit $3,023,004,000,000 in fiscal 2014, that would represent an increase of $123,359,620,000 in constant 2013 dollars over fiscal 2007's record tax haul of $2,899,644,380,000. Real tax revenues this year, according to the White House estimate, will be 4.25 percent higher than they have ever been.
According to the Census Bureau, there are now 317,065,976 people in the United States. The $3,023,004,000,000 in taxes the administration plans to collect this fiscal year equals $9,534 for every single one of those 317,065,976 people.
According to the Bureau of Labor Statistics, there were 101,877,000 full-time workers (who usually worked at least 35 hours a week) in the average month during 2012. The $3,023,004,000,000 in taxes the administration plans to collect this year equals $29,673 for each of those full-time workers.
For each household where there are two full-time workers, the federal government is planning to collect $59,346 in this fiscal year. In 2012, according to the Census Bureau, the median household income was only $51,017.
At the end of 2012, President Barack Obama struck a deal with Republicans in Congress to enact legislation that increased taxes. The deal included pushing the top income tax rate from 35 percent to 39.6 percent, increasing the top tax rate on dividends and capital gains from 15 percent to 20 percent, and phasing out personal exemptions and deductions starting at an annual income level of $250,000.
Despite the record tax revenue, the White House Office of Management and Budget predicts a deficit of $750,369,000,000. That would be an increase from the $680,232,000,000 deficit the Treasury reported for fiscal 2013, which ended on Sept. 30.