Today, the Office of Management and Budget (OMB) released its annual Mid-Session Budget Review, and has lowered by $127 billion the projected FY 2006 budget deficit - from $423 billion estimated earlier this year to $296 billion. The reduction is attributed to an unexpected rise in corporate and personal income tax receipts and revenues from capital gains taxes. Beneath the increased tax revenue, however, is a frightening reality: the ever-widening gap between the very rich and the rest of us. Moreover, OMB's lowering of its initial projections is consistent with the White House agency's strategy of predicting drastically over-inflated deficits in order to release revisions that give the appearance of improving fiscal health.
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