December 2021

In a response to Congressman Palmer, CBO summarizes its recent analysis of the costs of making permanent some of the policies in the Build Back Better Act.

To measure tax expenditures, the normal tax structure—the reference tax system—in which they represent special treatment must be defined. This report outlines how the reference tax system used by CBO affects its estimates of tax expenditures.

CBO responds to a question from Senator Schumer about its analysis of the costs of making permanent some of the provisions of the Build Back Better Act.

CBO and the Joint Committee on Taxation project the budgetary effects, including the effects on interest costs, of a modified version of H.R. 5376, the Build Back Better Act, that would make various policies permanent rather than temporary.

CBO assesses its two-year and five-year economic forecasts and compares them with forecasts of the Administration and the Blue Chip consensus, an average of about 50 private-sector forecasts.

The federal budget deficit totaled $358 billion in October and November 2021, CBO estimates—$71 billion less than the deficit recorded during the same period last year.

This guide briefly explains—in plain language—the differences between some common budgetary terms.