August 23, 2007

Today's deficit¹ estimate release by the Congressional Budget Office is good news for American taxpayers². Like the estimates put forward by the Office of Management and Budget, it shows that our government is on a path to meeting the goal I set forth³ of putting the budget into surplus by 2012. Balancing the budget requires keeping the economy strong, keeping tax rates low, and keeping spending in check.

Through tax relief, we cut taxes for American families and reduced tax rates on dividends⁴ and capital gains -- energizing⁵ small businesses to invest and expand. And since we lowered these important tax rates, the economy has created more than 8 million jobs, increased wages, and grew tax revenues that will lead to a surplus.

Continued spending restraint is a critical element for accomplishing a balanced budget. I again urge Congress to pass spending bills by the end of the fiscal⁶ year, without wasteful⁷ earmarks, without raising taxes, and in regular order - one at a time, and on time. Congress has an opportunity to rise to the occasion and work with my Administration to accomplish a balanced budget without raising taxes, and I hope they will do so upon their return to Washington in September.