Pres. Bush signed Tax Rebate Bill

[Sue C]

WASHINGTON — President Bush on Wednesday signed a multibillion-dollar economic rescue package on Wednesday that means $300 to $1,200 rebates for many American households.

Bush called the measure "a booster shot for our economy" to stave off a recession.

Several dozen members of Congress, including House Speaker Nancy Pelosi, stood on the stage behind Bush as he signed the bill.

Rebates are to go out beginning in May to taxpayers and low-income people, including seniors living off of Social Security and veterans who depend on disability checks. Businesses would get tax breaks for investing in new plants and equipment.

Most taxpayers will receive a check of up to $600 for individuals and $1,200 for couples from the Internal Revenue Service, with an additional $300 per child. People earning at least $3,000 and those who owe little or no taxes would get $300 for singles, $600 for couples.

Those making more than $75,000 and couples with income exceeding $150,000 are to get smaller rebates — $50 less per $1,000 they make over those thresholds.

 

[witzend]

While I know everyone is thrilled about getting a check in the mail, I doubt that this part of the bill is going to stimulate the economy much. The people who need it most are in debt, and likely won't buy anything that they wouldn't have in any case. They (and I) will use it to pay bills.

The more important part of this bill for our economy will be the economic stimulus from small business deductions on durable goods. Under this provision, anyone with a small business (under $250k profit) can write off the entire purchase price of durable goods bought for the business. This will stimulate purchases and reinvigorate the economy to a certain extent.

Not that I'm sending back our $12k, just pointing out the rest of the story, as Paul Harvey would say.

 

[Star*]

I'M GOING TO BUY A DONKEY!!!!!!!!

No....wait...I'm going to buy a computer...no no wait...um.....

I'm going to buy some shoes.....no...yes....2 pair...no,...Okay an English Mastiff, no....Gosh - do you suppose you have to tithe 10% of this? WWJB - What would Jesus buy? I think====a new spa..no moving expenses -I could get a toilet for that back bathroom...and...no who wants to buy a crapper with a gov't check..

I think a manicure - yes....and some what? Cookies. No bad - on a diet. Could get a pineapple corer and send it to BBK.....OH GOSH I know - I'm buying Witz a manger!

Okay so I got: donkey, computer, shoes, dog, tithe, figure out what the Lord is getting, a spa, a crapper, a manicure and cookies and a pineapple corer, then a manger for Witz. - oh I see you saw I put cookies in here huh? Well then I'll just have to forget the manger. I'm over budget. Sorry Witz.

 

[hearts and roses]

While I know everyone is thrilled about getting a check in the mail, I doubt that this part of the bill is going to stimulate the economy much. The people who need it most are in debt, and likely won't buy anything that they wouldn't have in any case. They (and I) will use it to pay bills.

Seriously, I won't even get the $1200 because H and I file separately. So, even if I am among the *lucky* ones who receive a check, it will likely be in the lower range. And I will mostly likely use it to buy more oil for our house tank. (I wrote some real sarcastic remarks here, but I don't want to get kicked off the board today).

Star, I need a new manger too...do you think you can get a two-fer on the Donkey??

 

[susiestar]

Well, we also will use it to pay off bills. Mostly medical, esp due to kid stuff. Oh, and I can start the new not-covered medication that hopefully will make me quit barfing up the vitamins my body needs but rejects.

Heck, instead of that, maybe I should just buy a skeleton for when mine collapses? Would be a cool thing to have around, and an instant conversation starter!

Ok, well, I will pay bills and get the medications. Or at least pay bills.

Susie

 

[Star*]

Jo -

According to Toto's website on adopt a burrow - we fill out the application and then drive to NM or AZ and trailer our ...well in my case I trailer a donkey and you trailer a new boss - lol at no cost.

-So nice of wubya = pft.

 

[Marcie Mac]

Wow free money - whats that old adage, if something seems too good to be true...

http://articles.moneycentral.msn.com/Taxes/Advice/TheDetailsOnTaxRebates.aspx

They never mention that this "freebie" could be taxed, or be considered as an advance on your next tax return.. besides that it will be putting us as a country in debt even more, and there will be more paring of the national budget next time around, no doubt starting with programs that serve the poor or elderly.

I'll be sending mine back

Marcie

 

[witzend]

Ooh, Marcie, I knew you would say something like that! Jo, I'm also trying to not get kicked off today, ergo I'm finding something good to say about the purchasing incentives built in.

This rebate will be considered income for us, both state and federal, so we will be taxed twice on it. Heck, though, we have just spent nearly $4k on the dog's nose, and he's still not better. Hopefully this rebate won't put us in a new tax bracket. We can't afford it!

 

[Sue C]

Yikes! I did not know I would be posting a sore subject. I thought this rebate was a good thing. I thought it would help the economy. husband & I were planning on spending our money (we will get the lower end because I do not work). The credit card bills can wait for now. It's not like the amount we will get would pay off much anyway.

I heard nothing of this money being taxed. Hmmmmmmmmmmmm.... That is interesting.

sue

 

[DammitJanet]

Marcie...you can send it to me!

From what I have read any person on social security will only get it if they also have 3K in income too...even if its not taxable.

What that ends up meaning for us is that...Tonys goes towards paying his taxes because he is considered self employed and we cant file together anyway. I probably wont qualify. Billy will get it because he has worked some this year...and get this...CORY will get it because he just went over the 3K mark in income...lol. How is that for ironic? The people who truly support this family wont get a dime but the idiots who live off us will...sigh.

 

[Sue C]

Janet -- my husband is self-employed. Are you saying he will not get a rebate??

sue

 

[Marcie Mac]

Its not a sore spot Sue - its just they don't bother telling anyone about the "fine print".. SO was looking forward to his,but with the wonderful state of Ca., they KNOW when anyone on disability has money going into their account they didn't put there. I remember his dad sent him a 10.00 check one year for his birthday, he put it in the bank, and got a letter from the State that his next check was going to be 10.00 less due to this "income". They are probably already drooling that they will not have to be forking out as much money when these government checks hit.

Marcie

 

[flutterbee]

If you owe taxes, the rebate will go toward your tax bill. IOW, your taxes owed will be reduced by the amount of your rebate. So, if you should have received $600 and you owe $1,000 in taxes, you won't get a rebate check and will write a check to the IRS for $400.

Clear as mud?

 

[sameold sameold]

Yeah the fine print is going to get us all. I know when we got 400.00 dollars back in 2001 it was deducted from what ever we would have gotten as a rebate for that year. So it probably will be the same, if you owe taxes, which we will, it will be deducted from your bill, if you get a rebate it will be deducted from whatever you would have gotten anyway. If my check does come in I will stash it because it will have to be paid back.

 

[donna723]

Well, I certainly will be able to find a use for an extra $600!

On my tiny budget, every little bit helps. I just got my tax refund - less than $500. I had to choose between getting my 7-year-old car worked on or getting new glasses ... do I want to be able to get to work or to be able to see what I'm doing when I get there! Since I've been wearing the same glasses for eleven years and can hardly see to read anymore, they won out. I have an appointment with the eye doctor next Wednesday!

So when I get the other $600, I will have to put it right straight in to car repairs. I won't have anything left, but I will have that nice, warm, fuzzy feeling that I did my little part to "stimulate the economy"!

 

[Hound dog]

Well, husband and I didn't suffer any reprocussions from the last rebate. And it certainly helped us out alot at the time.

And I'm NOT going to complain about this one, as it will also help us out a ton. husband is making so little we're barely surviving.

easy child and sister in law are mad because their income is too high to qualify for the rebate. I told her to take it from me, that is NOT something to be mad about. lol

But having said that, I just don't like these so called "quick fixes". They always sound good at the time, but in the long run they so rarely are. Maybe this one will be one of the rare ones, but I doubt it.

 

[babybear]

If I read it correctly, it's a credit added for next year but they are giving it out in advance?? Anyway, ours is already spoken for as I got difficult child this nifty graphics tablet for her birthday and none of the software will run on our computer not enough RAM and stuff.

 

[DammitJanet]

Sue....most self employed people end up having to pay in because of self employment taxes to social security. Our problem is Tony is majorly behind in his taxes anyways so he will probably never catch up.

 

[witzend]

I heard nothing of this money being taxed. Hmmmmmmmmmmmm.... That is interesting.

sue

It's also possible that like in '03 they will issue it as a credit against your 2009 taxes. So, if you were supposed to get $600 back in '09, you'd end up owing $300, plus they've already taxed you on it as income.

 

[Star*]

If it's too good to be true.....then it probably is.