Sources of Government Revenue:
The individual taxpayer -- you -- provides most of the income for the Federal Government’s budget. That's because income taxes contribute 46%, or $1.383 trillion, toward total FY 2014 revenue receipts. Social Security, Medicare and other payroll taxes (still mostly you) add 34%, or $1.031 trillion. Corporate taxes toss in $333 billion, or 11% toward the total. Excise and estate taxes contribute $105 billion, or 3%.
The Federal Reserve, as the bank for Federal government agencies, pays interest on the billions of dollars in operating funds deposited by various Federal agencies. This totals $90 billion, or 3%. The rest ($90 billion) comes from tariffs and other miscellaneous receipts. (Source: OMB Summary Tables, Table S-5)
All the Tax Burden Really Falls on You:
The Congressional Budget Office (CBO) points out that, in effect, the entire U.S. tax burden really falls on individuals. That's because corporations pass on their tax burden to families in the form of higher prices or lower wages. Corporations must maintain their profit margin to satisfy stockholders, so any additional corporate taxes will be passed on to consumers or workers. Bottom line -- everything the government spends ultimately comes out of your pocket, no matter what happens with the corporate tax rate.
The Budget's Relation to Economic Growth:
Income taxes were lowered to spur the consumer spending that drives 70% of economic growth. Most people didn't even realize taxes were lowered, since the tax cut showed up as lower withholding instead of a check. However, this didn't stimulate economic growth as much as was hoped. Instead of spending all the extra cash, people used some of it to pay off debt. The recession scared people into saving more and using credit cards less.
U.S. Tax Revenue by Year:
- FY 2013 - $2.71 trillion (estimate).
- FY 2012 - $2.45 trillion.
- FY 2011 - $2.3 trillion.
- FY 2010 - $2.16 trillion.
- FY 2009 - $2.1 trillion.
- FY 2008 - $2.52 trillion.
- FY 2007 - $2.57 trillion.
- FY 2006 - $2.4 trillion.
- FY 2005 - $2.15 trillion.
- FY 2004 - $1.88 trillion.
- FY 2003 - $1.72 trillion.
- FY 2002 - $1.85 trillion.
- FY 2001 - $1.99 trilion.
- FY 2000 - $2.03 trillion.
- FY 1999 - $1.82 trillion.
- FY 1998 - $1.72 trillion.
- FY 1997 - $1.58 trillion.
- FY 1996 - $1.45 trillion.
- FY 1995 - $1.35 trillion.
- FY 1994 - $1.26 trillion.
- FY 1993 - $1.15 trillion.
- FY 1992 - $1.09 trillion.
- FY 1991 - $1.05 trillion.
- FY 1990 - $1.03 trillion.
- FY 1989 - $991 billion.
- FY 1988 - $909 billion.
- FY 1987 - $854 billion.
- FY 1986 - $769 billion.
- FY 1985 - $734 billion.
- FY 1984 - $666 billion.
- FY 1983 - $601 billion.
- FY 1982 - $618 billion.
- FY 1981 - $599 billion.
- FY 1980 - $517 billion.
- FY 1979 - $463 billion.
- FY 1978 - $399 billion.
- FY 1977 - $356 billion.
- FY 1976 - $298 billion.
- FY 1975 - $279 billion.
- FY 1974 - $263 billion.
- FY 1973 - $231 billion.
- FY 1972 - $207 billion.
- FY 1971 - $187 billion.
- FY 1970 - $193 billion.
- FY 1969 - $187 billion.
- FY 1968 - $153 billion.
- FY 1967 - $149 billion.
- FY 1966 - $131 billion.
- FY 1965 - $117 billion.
- FY 1964 - $113 billion.
- FY 1963 - $107 billion.
- FY 1962 - $100 billion.
- FY 1961 - $94 billion.
- FY 1960 - $93 billion.
- FY 1789-FY 1959 - $1.1 trillion.
