WASHINGTON (CNN) - The budget deficit will be about $331 billion this year, down from March's estimate of $365 billion, the Congressional Budget Office said in a new forecast released Monday morning.

If the forecast holds true, the federal budget deficit would be $81 billion less than in 2004. The fiscal year ends Sept. 30.

The latest numbers from the CBO are in line with forecasts from the Bush administration earlier this summer. Much of the improvement comes from increased tax revenues, which the CBO estimates will be $85 billion higher than the previous year.

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