juleswin
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- Jan 27, 2011
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The deficit went up because spending went up, not because tax rates were reduced (revenues increased)
Like some people above the thread have mentioned, deficit is the difference between the revenue(taxes) and spending, they go hand in hand when calculating the deficit. But spending grew by 5.44% from 2017 to 2018 compound it with tax cuts and you would end up with a deficit.
Maybe it is the increase in borrowing and spending(5.4%) that led to the increase in income tax revenue(4%)?