WASHINGTON — A new budget analysis says the combined effects of President Donald Trump’s tax cuts and last month’s budget-busting spending bill will send the government’s budget deficit toward the $1 trillion mark.
That’s the word from the Congressional Budget Office, which says the twin tax and spending bills will push the budget deficit to $804 billion this year and just under $1 trillion for the upcoming year.
CBO says economic growth from the tax cuts will add 0.7 percent on average to the nation’s economic output over the coming decade. Those effects will only partially offset the deficit cost of the tax cuts. The administration had promised the cuts would pay for themselves.
The deficit would permanently breach the $1 trillion mark in 2020 unless Congress reins it back.