What was the estimated amount of lost revenue due to tax expenditures in 2013?

The estimated amount of lost revenue due to tax expenditures in 2013 being over $1 trillion reflects the substantial impact of these fiscal policies on the federal budget. Tax expenditures, which include deductions, credits, and exclusion provisions in the tax code, represent revenue that the government foregoes to achieve various policy goals, such as incentivizing certain behaviors or supporting specific sectors of the economy.

In 2013, the complexity and multitude of these tax provisions significantly contributed to the overall figure, as numerous tax breaks were in place that year, aimed at efforts such as home ownership, education, healthcare, and energy efficiency. The range of tax expenditures demonstrates the government's reliance on tax policy to influence economic behavior while also illustrating the potential challenges in maintaining fiscal balance due to these revenue losses. Recognizing this level of expenditure is important for understanding both the scope of government financial operations and the ongoing discussions around tax reform and budgetary allocations.