The debt crisis that the US Government and individuals face is a pressing issue. This crisis needs to be confronted for the financial health of the United States. We complain about taxes now… they could get a whole lot worse.
David Walker, President and CEO of the Peter G. Peterson Foundation and former comptroller general of the United States, believes that by 2030, without significant reforms to our government programs and policies, federal taxes could double from current levels.
The Congressional Budget Office (CBO) projects that, as the economy recovers, revenues under current law will increase over the next couple of years, reaching about 18 percent of GDP in 2024. Individual income taxes and social insurance taxes (largely social security payroll taxes) account for most of federal government revenue.
In its latest long-term budget outlook (July 2014), the Congressional Budget Office (CBO) projects that, within 25 years, federal debt held by the public would rise under current law to 106 percent of GDP and to 183 percent of GDP under less optimistic assumptions. Debt at those levels would put our economic future at risk. Read more