The U.S. Government hit the debt ceiling in mid-January, again. Betting odds would say that the debt limit gets increased, like the prior 22 ceiling increases since 1997 (Source: Government Accountability Office), but not without some tug-of-war and public shaming from both sides of the aisle in Washington.
So, why does the US continue to hit the debt ceiling? In short, the Government spends more than it brings in and the gap to cover that excess is filled by borrowing. As the graphic below shows, the CBO expects a shortfall of $984bn for Fiscal Year 2023 (Oct. 2022 – Sept. 2023). The majority (70%) of government expenditures are considered mandatory (Social Security, Medicare & Medicaid, interest expense, and other). Discretionary expenditures, a nearly equal split between defense and non-defense, account for the other 30% of the total expenditures of the Government. Despite all the noise, Congress has very little opportunity to cut spending. All things considered, the prospects of an increase to the debt ceiling are strong as it is almost implausible to find a quick solution to a nearly $1 Trillion problem.
By January 31, 2023, Pershing will begin mailing Form 1099 tax statements. When you receive your Form 1099 depends on the holdings in your account.
Phase One: January 31, 2023 Phase Two: February 15, 2023 Phase Three: February 28, 2023 Phase Four: March 15, 2023
For more detailed information regarding the timing, click herefor the 2022 Tax Guide from BNY Mellon | Pershing and scroll to page 3 of the guide.
Corrected 1099 Form will be mailed as needed. You may receive a corrected Form 1099. There are several reasons for this- for example, issuers of securities held in your account may provide updated or additional information after your Form 1099 is mailed to you. The IRS requires financial organizations to send corrected forms with revised information as it becomes available.
Want quicker access to your Form 1099? Enroll in electronic delivery (eDelivery). Log-in to your account to sign up for access or contact Lynne Davidson for assistance at 316-776-4633.
6 Meridian is a group comprised of investment professionals registered with Hightower Advisors, LLC, an SEC registered investment adviser. Some investment professionals may also be registered with Hightower Securities, LLC, member FINRA and SIPC. Advisory services are offered through Hightower Advisors, LLC. Securities are offered through Hightower Securities, LLC. This is not an offer to buy or sell securities. No investment process is free of risk, and there is no guarantee that the investment process or the investment opportunities referenced herein will be profitable. Past performance is neither indicative nor a guarantee of future results. The investment opportunities referenced herein may not be suitable for all investors. All data or other information referenced herein is from sources believed to be reliable. Any opinions, news, research, analyses, prices, or other data or information contained in this presentation is provided as general market commentary and does not constitute investment advice. 6 Meridian and Hightower Advisors, LLC or any of its affiliates make no representations or warranties express or implied as to the accuracy or completeness of the information or for statements or errors or omissions, or results obtained from the use of this information. 6 Meridian and Hightower Advisors, LLC assume no liability for any action made or taken in reliance on or relating in any way to this information. The information is provided as of the date referenced in the document. Such data and other information are subject to change without notice. This document was created for informational purposes only; the opinions expressed herein are solely those of the author(s) and do not represent those of Hightower Advisors, LLC, or any of its affiliates.
Hightower Advisors, LLC or any of its affiliates do not provide tax or legal advice. This material is not intended or written to provide and should not be relied upon or used as a substitute for tax or legal advice. Information contained herein does not consider an individual’s or entity’s specific circumstances or applicable governing law, which may vary from jurisdiction to jurisdiction and be subject to change. Clients are urged to consult their tax or legal advisor for related questions.
The article above was prepared by MarketingPro, Inc., and 6 Meridian and does not necessarily represent the views of the presenting party, nor their affiliates. This information has been derived from sources believed to be accurate.
