US federal budget posts $215B surplus in April, topping expectations

The US federal government posted a budget surplus of $215 billion in April, the Treasury Department said Tuesday.

The surplus was recorded in the seventh month of the 2026 fiscal year, which began Oct. 1, 2025, and will end Sept. 30.

The federal government had posted a budget surplus of $258.4 billion in April last year.

April’s surplus fell nearly 17% from the same month last year, but above market expectations of a $157.2 billion surplus.

Government receipts decreased 2% year-on-year to $837 billion, while outlays rose 5% to $622 billion.

Individual income tax collections were the main driver behind the surplus.

The total budget deficit for the first seven months of the 2026 fiscal year narrowed 9% from the same period last year to $954 billion.

The deficit had stood at $1.05 trillion in the corresponding period of the previous fiscal year.

Receipts in the October-April period rose 7% year-on-year to $3.3 trillion, while outlays increased 3% to $4.3 trillion.