Federal budget deficit to shrink to $1.1 trillion

Gap is not expected to get much smaller in the coming years if Bush era tax cuts are extended.

This fiscal year's federal budget deficit is going to be a bit smaller than last year's, but is still more money than you can probably even wrap your head around.

The Congressional Budget Office released a report Tuesday that predicted the deficit to come in at $1.1 trillion by the end of the fiscal year in September. It's smaller than last year's $1.3 trillion, but it's not expected to sink much further for a while, at least until the bite taken out by Bush-era tax cuts gets refilled somehow, the Associated Press reports: "The Congressional Budget Office report also says that annual deficits will remain in the $1 trillion range for the next several years if Bush-era tax cuts slated to expire in December are extended, as commonly assumed."

Read more at The Atlantic Wire.