Reply With Quotewell said
won't do anything to jumpstart anything except to give a dinky amount of cash to a member of the working class who tries to get to a job in a car that constantly needs a jumpstart. That would be those in the lower rebate catagory.
The higher rebates might sensibly be used to pay off existing debts so many are so fond of incurring...
That rebate is only an election ploy. Most people plan to use it to pay off an existing something--then accrue more debt...
What might actually turn the need for people to keep money moving along would be government NOT deducting ANY taxes from ALL people making $50,000 or LESS--the catagory most people are in.
That way, most taxpayers would have the cash to pay off their existing debts AND be able to make new purchases of something other than another old rattletrap...
I used cars as an example because, aside from needing food, shelter and clothing, a vehicle is necessary to get to outlying jobs so people can BE taxpayers!!!
Its so complicated; its too complicated.
gsip
well said
People who wonder if the glass is half empty or full miss the point. The glass is refillable.
Maybe the credit card companies should be asked to donate 3% of the interest they collect to pay down the national debt.
The oil company credit card issuers should be asked to donate a higher percentage
That is a good point concerned. The last rebate we received is still sitting in the bank, btw!!
And whatever part of the rebate is not used gets put where? In a bank, in essence giving money to banks that are boo-hooing about needing a bailout in light of the recent sub-prime lending crisis. Hmm, now the banks are going to have some cash to play with
1) They give it to the CEO's in the form of stock options and other nice perks for doing such a great job.
2) They lend it out on other risky ventures and repeat the S&L crisis of the 1980's (which incidentally, we are still paying for)
3) They realize all this time they've been wrong and make it available as loans to the poor...at 21% interest.
4) They spend it on lobbyists who help to make sure that if they screw up again that they can get another "stimulus" package going to help boost the economy.
5) They do good deeds like loan it to the guy who needs a new car (because his present one always has to be jumpstarted). Then, when he can't make the payments, they repossess the car, sell it at auction and don't worry about the remainder of the loan b/c it's paid for by the auction...but in the meantime, they've made some money off the schlep trying to make a living...
Yep, it's a stimulus package alright...stimulating the country right in the pASS.
I haven't had a chance to study the rebate issue yet, so this is just speculation.
But...
Where's the government going to get the money?
With the deficit and debts, I'll bet they are going to borrow it.
If they borrow it, not only will we, the taxpayers, have to pay the loan back, but we will have to pay the interest too.
Some rebate, huh!
Here's a novel idea-- try trimming the fat from all levels of government including excessive salaries and perks for the *special folk* so taxes can be reduced thereby providing a continuous "rebate" to the average consumer. Lower taxes benefits everybody. Never gonna happen but hey, one can always hope!
No offense, but at least with "fat" in government, there's nobody getting a salary that's more than $1 million. Can't say the same about the "fat" in the private sector. At least with government, it's spread around more equitably. Because we live in a paradigm where everyone has to have a job (no matter how made up or contrived it is -- applies to both public and private) this taxation scenario is not likely to change.Originally Posted by kma516
Here's a novel idea
the early reports I heard (the final plan might be different) indicated the rebates were really just cash advances on next years tax returns. so basically when you file in 09 your refund would be reduced by the amount of the rebate
again, that was when the idea of doing a rebate was first being suggested, the final plan might be different
Vote for freedom, not political parties.
Politicians need to cut spending
Okay, wait, I'm trying to calm down.
Are you telling me that I'm going to have to pay this money back in 2009?
It looks like you may be correct regarding cash advance.Originally posted by Sharky:
the early reports I heard (the final plan might be different) indicated the rebates were really just cash advances on next years tax returns. so basically when you file in 09 your refund would be reduced by the amount of the rebate
This is how the IRS has it stated on their website:
http://www.irs.gov/irs/article/0,,id=177937,00.html
Information on Advance Payments
The Administration and Congress have announced an economic growth package that would provide advance payments to many Americans. However, no legislation has yet been enacted, so final details are not available. As more information is available, we will post it to our Web site.
Back in January when they were initiating this rebate, Al Vaughters from WIVB stated that the money would not hae to be paid back. But if the IRS is calling this an advance payment wouldn't you conclude that means less of a refund next year?
Georgia L Schlager
My temperature and gorge is rising.
I need more hours in the day. I haven't had time to investigate this.
But if I have to adjust my tax payments this year to make sure I don't have to pay next year I'm going to pitch a fit.
...The above-posted IRS site clearly reads ..."ADVANCE PAYMENT" in the title of their homepage window and "advance payment" in the body of that message.
This means that an ADVANCE(D) PAYMENT is what it is, people! Yikes, its a payback thing--with interest!?
gsip
I don't know about interest, but doesn't it get added to your income, like when you get a refund, it goes on the next years total?
Just looked up the 2001 1040 instructions for that year's Advanced payment (Rate reduction credit) and you didn't have to include it as income. If you didn't receive the rebate check, you got a credit for the amount you should have received from your taxes. If you got the rebate check, you didn't get anything taken off your tax.Originally posted by Cookie:
I don't know about interest, but doesn't it get added to your income, like when you get a refund, it goes on the next years total?
http://www.irs.gov/pub/irs-prior/i1040--2001.pdf page 14
Love your avatar.
Georgia L Schlager
Sharky is right. I had my taxes done today and remember that tax rebate we received last year? Yup they deducted that amount from my taxes this year so in the long run that rebate to help me, was just a "loan" of sorts till I filed my taxes. Nice huh? To bad they don't put that in the fine print when they tell you how they are doing tax payers a favor
But if there is any good news about it, no they didn't charge interest when they deducted the amount from my taxes.
Ability is what you're capable of doing. Motivation determines what you can do. Attitude determines how well you can do it. - Lou Holtz
There are currently 1 users browsing this thread. (0 members and 1 guests)
Posting Permissions