Americans paying most income taxes ever
The Treasury expects to feed on a 28% surge in individual income taxes this year and another spurt in 2025 when the Trump tax cuts expire, according to a new budget analysis presented to Congress on Thursday.
The latest Congressional Budget Office report revealed expectations of $2.6 trillion in individual income taxes this year, up from $2 trillion last year.
Not only is that the highest ever, but it is also the biggest share of gross domestic product since income taxes began.
“In 2021, receipts from individual income taxes totaled $2.0 trillion, or 9.1% of GDP. Under current law, and on the basis of receipts observed through late April of this year, CBO expects individual income tax receipts to rise by 28% in 2022, to $2.6 trillion. At 10.6% of GDP, that total is expected to be the highest amount of individual income tax receipts recorded since 1913, when ratification of the Sixteenth Amendment authorized the federal government to begin collecting income taxes,” said the agency.
The CBO said that the overall federal revenue is expected to reach a record $4.8 trillion in 2022, a 19% one-year increa …