US budget deficit jumped to $215.2 billion in February

WASHINGTON – The federal government recorded a budget deficit of $215.2 billion in February, up significantly from a year ago as the impact of the GOP tax cuts passed in December begin to surface.

The Treasury Department reports that the February deficit was 12.1 per cent higher than a year ago, reflecting in part a drop of $5 billion in individual withholding taxes paid last month compared to a year ago. In February, employers started using tax tables that withheld less from paychecks based on the new law.

For the first five months of this budget year, the deficit totals $391 billion, an increase of 11.5 per cent from the same period a year ago. President Donald Trump’s new budget projects this year’s deficit will hit $873 billion, up sharply from last year.