The US government started the 2027 fiscal year with a $404 billion budget deficit for October, a record for the month and $120 billion, or 42%, higher than the year-earlier period, as receipts shrank and outlays grew sharply, the Treasury Department said on Thursday. October receipts fell by $35 billion, or 9%, to $369 billion, due partly to lower net customs duty collections. Individual non-withheld taxes were $29 billion, or 36%, lower than year-ago levels, which were swelled by tax filing deadlines delayed for Californians affected by the 2025 wildfires.