§7523 Graphic Presentation of Major Categories of Federal Outlays and Income

Summary

The Treasury Secretary must put two clear pie charts in the instruction booklets for Forms 1040, 1040A, and 1040EZ. One chart must show how the federal government’s spending is split among major groups. The other must show where the government’s money comes from. The charts must use the most recent full fiscal year of data available when the booklets are finished. Major spending categories are: defense, veterans, and foreign affairs; Social Security, Medicare, and other retirement; physical, human, and community development (includes agriculture, natural resources, environment, transportation, education, job training, economic development, space, energy, and general science); social programs (must show percent for Medicaid, SNAP, and state child-assistance under part A of title IV of the Social Security Act, and percent for public health, unemployment, assisted housing, and social services); law enforcement and general government; and interest on the debt. Major income categories are: payroll taxes (Social Security, Medicare, unemployment and other retirement taxes), personal income taxes, corporate income taxes, borrowing for the deficit, and excise, customs, estate, gift, and other taxes.