The US government has record revenues - mostly taxes - this fiscal year, which started October 1. And we are still borrowing. Why?
Federal tax revenues continue to run at a record pace in fiscal 2014, as the federal government’s total receipts for the fiscal year closed April at $1,735,030,000,000, according to the Monthly Treasury Statement.
Despite this record revenue, the federal government still ran a deficit of $306.411 billion in the first seven months of the fiscal year, which began on Oct. 1, 2013 and will end on Sept. 30, 2014.
This is not just the largest revenue, but is still the largest when adjusted for inflation.