Federal Budget Deficit Narrowed in December

The federal government ran a $21 billion deficit during December, the smallest monthly gap in two years, as the government took in more tax revenue while spending edged higher.

Government receipts for the month rose by 41% from a year earlier to $487 billion, not adjusting for calendar differences, the Treasury Department said Wednesday. The Treasury said federal outlays in December rose by 4% to $508 billion.