The federal budget deficit topped $1 trillion in the first five months of the 2021 fiscal year, the Congressional Budget Office announced Monday.
The deficit from the beginning of October through the end of February came to $1.048 trillion, CBO said, an increase of $423 billion over the first five months of the 2020 fiscal year.
Spending was 25% higher, while revenues were up by 5%. About three quarters of the increase in spending was related to three types of programs established in response to the Covid-19 pandemic: unemployment benefits, refundable tax credits, and the Paycheck Protection Program for small businesses.
