The budget shortage last month was the first to mirror the spending of the government enormously that has been allowed to alleviate the economic impact of the COVID-19 crisis said by the Treasury Department of the USA. Resulting in seeing most countries went into strict lockdown orders, resulting in many businesses shuttered down to contain the spread of the deadly disease.
The U.S congress approved a budget of $2.3 trillion on 27 March 2020, rescue package which has since increased to around $ 3 trillion, taking total emergency relief funds.
April is generally considered a month for treasury posts a surplus because of payments of tax are due on April 15 but due to pandemic, these dates have been delayed to July 15 this year. Treasury said, “April has been reported deficit 15 times over the past 66 years by the government”.
Unemployment benefits forms filled by more than 33 million Americans since March 21, which means one in five jobs, cratering US government treasury base.
They really are striking numbers reported by the U.S treasury officials, when asked about the monthly deficit, which has also an all-time record budget deficit for any month for the past 66 years.
Around $ 283 billion income taxes were paid in April 2019, according to Treasury data, and receipts from workers regarding tax withheld totaled $114 billion in April 2019, were also reduced because of unemployment.