• Federal budget deficit for October $-67 billion versus $-65 billion estimate
  • Last month $-171 billion
  • The fiscal 2023 deficit which ended September 30 was the largest outside the Covid 19 era and nearly $1.7 trillion
  • October deficit shrank by 24% to $67 billion compared to $88 billion a year earlier.
  • Federal revenues in October surged by 27% to a record $403 billion, mainly due to tax payments from states with extended deadlines due to natural disasters
  • Interest paid on national debt was $89 billion more than doubled in the past month.
  • Outlays increased by 16% to $470 billion, with a significant portion attributed to a $41 billion year-over-year increase in interest payments on the U.S. government's debt.
  • Interest costs have risen since March 2022, driven by the Federal Reserve's actions to combat inflation.
  • The average interest rate on outstanding Treasury securities increased to 3.05% from 2.19% in the previous October.
  • Interest on the debt was the second-largest expenditure in October, totaling $89 billion.
  • The fiscal 2023 deficit which ended September 30 was the largest outside the Covid 19 era and nearly $1.7 trillion

Overall, the smaller deficit in October was driven by California and other states had their annual tax filing deadlines extended due to natural disasters. That largely accounted for the 70% increase in non-withholding taxes from individuals and a 170% increase in corporate tax receipts