Barclays: Tax revenues stronger than expected, default deadine may actually be Aug 10 (not Aug 2)

[^_^ 5,021]

Greater-than-forecast tax revenue might give the Treasury until Aug. 10 before it runs out of cash, Barclays Capital said in a report last week.

“Tax-receipt inflows from July 14 to date have been considerably stronger than we were expecting,” New York-based Barclays analysts, including Ajay Rajadhyaksha, said.

Inflows over the five-day period from July 14 were about $14 billion higher than Barclays had foreseen, and outlays were about $1 billion less, according to the report.

http://www.bloomberg.com/news/2011-07-25/u-s-can-avoid-default-at-least-until-september-silvia-says.html

[Obama 2012 1,714]

lulz. I love it when my point on tax revenue gets proven.

[웃 910]

lulz. I love it when my point on tax revenue gets proven.

Can you refresh my memory?

[웃 910]

lulz. I love it when my point on tax revenue gets proven.

June 7, 2001

President George W. Bush signed into law Thursday the first major piece of legislation of his presidency, a $1.35 trillion tax cut over 10 years.

New Senate Majority Leader Tom Daschle, D-South Dakota, has said Congress will eventually be forced to revisit the tax cut, which he argues is too large, too generous to the rich and too expensive.

"I just know that at some point that reality is going to come crashing down on all of us and we're going to have to deal with it," Daschle said Wednesday.

[웃 910]

.

Edited July 26, 2011 by Lord Infamous

[Obama 2012 1,714]

Can you refresh my memory?

That there are no guarantees on revenue. It's all a guessing game.

Everything when it comes to tax revenue is based off of the currents trends of the economy and guessing where it's heading.

We could have an economic boom tomorrow and revenues would skyrocket. We could have another collapse tomorrow and the revenues would dwindle.

The fact of the matter is though; with Federal tax revenues especially, you can never guarantee the revenue stream because the income comes from all 50 states. While California might be having a great year, Illinois would be having a ####### year.

That's why when people talk about raising taxes to increase revenue, it's a joke. Sure it looks and sounds good on paper, but there are several other factors that have to play into that scenario for it to actually work.

[spookyturtle 9,466]

That there are no guarantees on revenue. It's all a guessing game.

Everything when it comes to tax revenue is based off of the currents trends of the economy and guessing where it's heading.

We could have an economic boom tomorrow and revenues would skyrocket. We could have another collapse tomorrow and the revenues would dwindle.

The fact of the matter is though; with Federal tax revenues especially, you can never guarantee the revenue stream because the income comes from all 50 states. While California might be having a great year, Illinois would be having a ####### year.

That's why when people talk about raising taxes to increase revenue, it's a joke. Sure it looks and sounds good on paper, but there are several other factors that have to play into that scenario for it to actually work.

You're way too smart to be wasting your talents here.

[^_^ 5,021]

You're way too smart to be wasting your talents here.

Indeed, who knew extrapolation was not an exact science. Someone tell Bernanke!

[웃 910]

That there are no guarantees on revenue. It's all a guessing game.

Everything when it comes to tax revenue is based off of the currents trends of the economy and guessing where it's heading.

We could have an economic boom tomorrow and revenues would skyrocket. We could have another collapse tomorrow and the revenues would dwindle.

The fact of the matter is though; with Federal tax revenues especially, you can never guarantee the revenue stream because the income comes from all 50 states. While California might be having a great year, Illinois would be having a ####### year.

That's why when people talk about raising taxes to increase revenue, it's a joke. Sure it looks and sounds good on paper, but there are several other factors that have to play into that scenario for it to actually work.

In other words: You can increase revenues by decreasing revenues (cutting taxes) and you can decrease revenues by increasing revenues (raising taxes). Interesting.