US budget deficit rises to $2.71 trillion through August

By MARTIN CRUTSINGER
AP Economics Writer

WASHINGTON (AP) — The Treasury Department says the U.S. budget deficit rose to $2.71 trillion through August. The shortfall remains on track to be the second largest in history due to trillions of dollars in COVID relief. That’s despite tax revenues having increased faster than spending this year. In its monthly budget report, the Treasury Department said Monday that the deficit for the first 11 months of this budget year is 9.9% less than the imbalance during the same period last year. For the entire budget year, which ends Sept. 30, the Congressional Budget Office is forecasting a deficit of $3 trillion, which would be just below the record deficit of $3.13 trillion set last year.