US Deficit Reaches $1.27 Trillion in Fiscal Year-to-Date

  • Interest on debt continues to propel borrowing needs
  • Tax receipts hit June record aided by disaster deferals

Treasury officials said much of the year-over-year gains could be attributed to a deferral of tax deadlines from fiscal 2023 into this year.

Photographer: Andrew Harrer/Bloomberg
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Interest payments on outstanding US debt continued to drive the federal government’s budget deficit, which reached $1.27 trillion for the fiscal year through June.

The deficit in June was $66 billion, despite receipts hitting a record for that month at $466 billion, according to data released Thursday by the Treasury. Adjusted for calendar differences, the month’s shortfall was $5 billion smaller than in June 2023. The year-to-date deficit also fell slightly short of the same period last year.