Tax News

CCH (cch.taxgroup.com) reports:

The Treasury Department and the Office of Management and Budget (OM on October 11 released data showing the budget deficit for fiscal year (FY) 2007 stood at $163 billion. That amount is $42 billion lower than had been forecast in July in the Mid-Session Review (TAXDAY, 2007/07/12, W.1).
"We have told the American people that, by keeping taxes low, we can grow the economy, and by working with Congress to set priorities we can be fiscally responsible and we can head toward balance. And that's exactly where we're headed," President Bush said following release of the data.
Treasury Secretary Henry M. Paulson, Jr., said the deficit figure showed that "we must keep taxes low and restrain federal spending to continue the economic expansion in the wake of credit market disruptions and the housing market downturn." OMB Director Jim Nussle added that the unsustainable growth in Social Security, Medicare and Medicaid posed a "huge budgetary challenge ... Congress should begin to take action to prevent this fiscal train wreck."
By Sarah Borchersen-Keto, CCH News Staff
White House Press Release --FY07 Results: Deficit Declining Towards 2012 Surplus
Treasury Department News Release, TDNR HP-603