Early February Withholding Tax Rebound Signals Sustained Growth, But Inflation Still a Factor

Lee Adler February 7, 2025

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Withholding tax collections entered a strong rebound phase in early February after their typical cyclical trough in late January. Strong employee earnings inflation accounted for 2/3 of the gain. Meanwhile, corporate tax collections continue to reflect strong profitability and excise tax collections were also strong.

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Early February Withholding Tax Rebound Signals Sustained Growth, But Inflation Still a Factor

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