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Americans paying more taxes, but deficit growing

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Americans are paying more in taxes to the federal government this year, but the deficit is still growing, MarketWatch reported.


In March, the U.S. government ran a deficit of $53 billion, the Treasury Department reported on Monday. That was $16 billion more than the same month last year. For the fiscal year to date, the deficit is $439 billion, $26 billion more than the year-ago period.


Receipts of individual withheld taxes climbed by 7 percent in March. For the year, they’re up 5 percent. In the first half of fiscal 2015, total receipts – including corporate and individual taxes, customs and other fees – have climbed 7 percent.


The Congressional Budget Office says growth in wages and salaries is behind the higher income-tax receipts, while higher taxable profits in calendar year 2014 likely accounts for greater receipts of corporate taxes. The government’s budget year runs from October to September.


Spending is up 7 percent in the first six months of the fiscal year. Some of the biggest year-to-date increases are for education programs, Medicaid, and certain defense programs.