President Joe Biden can be pleased that the federal government's tax revenues are significantly higher than expected according to current calculations.
This gives him more leeway for his quite expensive plans.
Only: The calculations also contain uncomfortable truths.
Surprisingly high speculative profits from private individuals in 2021 have boosted revenues.
Biden can probably not build on that this year after the dramatic price losses in the past four months.
The unexpected rise in corporate income taxes may also carry bad news for Biden.
There are some indications that the major corporate tax reform under Donald Trump is having exactly the consequences that his advisors had predicted: the reduction in the corporate income tax rate and incentives to repatriate corporate profits apparently increased government revenues.
With this, however, Biden loses an important argument for his tax plans.
He wants to increase corporate income taxes.
Is that really a good idea?