Help the US Pay Off Public Liabilities and Get a Tax Deduction

July 6, 2010By: TaxCure Staff

tax-debtAs of June 2010, the US public deficit is more than $13 trillion. US public deficits increase when the government spends more than it gets back from tax revenues. To make up the difference, the government issues US Treasury Securities; and the public deficit is the sum of all outstanding US Treasury Securities.

The US has always had deficits; with the exception of a short period of time under President Andrew Jackson when it was at zero, on January 8th, 1935. Soon after, deficits quickly grew into the millions. Wars contributed greatly to the public deficit, as do social programs. In 1860, the public deficit was $65 million but had reached $1 billion in 1863 and following the Civil War, $2.7 billion the next year. As the country paid for World War I, the deficit grew steadily through the early 1920s, reaching about $22 billion. After World War II and a number of social programs created under Roosevelt and Truman's presidencies, the deficit grew to $260 billion.

The deficit grew at about the same rate as inflation and reached $909 billion in 1980. During the Reagan and Bush presidencies between 1980 and 1992, the public deficit quintupled to $3 trillion. In 2010, the US public deficit is a staggering $13 trillion.

Help Reduce the US Public Deficit with a Donation

If you’re concerned about the growth of the public deficit and would like to do something to help, you can help the US government pay down the public deficit by making donations. In exchange, you can get a tax deduction on your income taxes.

The Bureau of the Public Deficit accepts gifts on behalf of the US Government toward the reduction of public deficit. They can accept gifts of money if made on the condition it is to be used to reduce public deficit outstanding government obligation, made with the condition that the obligation is retired and the proceeds are used to reduce the public deficit; or intangible personal property given with the conditions that sales of the property are used to reduce the public deficit.

How to Make a Donation to Reduce the US Public Deficit

Contributions you make toward the reduction of the US public deficit are considered a charitable contribution and a deduction on the tax return for the year you make the donation. If filing taxes, you can check the box to send all or a portion of your tax refund to the government towards the public deficit.

If you’d like to send a separate payment by check, you can send it with your tax return, or through the mail payable to:

 

 

To make a contribution online by credit card, savings, or checking account, visit http://www.pay.gov.