Day: November 21, 2021

Build Back Better Would Raise Deficit, CBO Says

With the House nearing a vote on President Joe Biden’s Build Back Better bill, the Congressional Budget Office has projected the measure would add a net $367 billion to the national debt over the next decade.

USA Today said the CBO’s projection “undercuts Biden’s long-standing pledge the bill is not only fully paid for but would decrease the deficit.”

However, the CBO excluded tax revenue from tighter IRS enforcement, which it estimated earlier would raise $207 billion. Subtracting the $80 billion cost of increasing enforcement, the net savings would be $127 billion and Build Back Better would raise the deficit by only $160 billion.

“In the scope of the federal budget, that’s a tiny amount,” The Washington Post said, also noting that “many people think CBO’s figure on the cost savings from tax enforcement is a drastic underestimate.”

The Treasury Department estimates that enforcement would generate $400 billion in revenue,

Read More