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Friday, January 25, 2008
 
Economic Stimulus

HEY! Here is a great new economic stimulus idea - cut taxes and give people their money back!!

How about THAT?! Radical thinking!!

In all seriousness, I am never, ever one to complain about cutting taxes and getting my money back from the Treasury. I am, however, very very concerned about the price.

The Democrats aren't going to let this one go easily. I'm already hearing about the other parts of the 'package' that they are working on. Could be a $20 - $35 billion package of transportation and infrastructure projects (Fellas, does it smell like bacon in here...?). Increase taxes on oil companies, hedge fund managers, and others to offset the cost.

This is the Washington equivalent of hitting for the cycle in an election year - "I cut taxes, gave you some money (yes it is actually yours), delivered pork, created short term construction (often union) jobs, and stuck it to the man! Vote for me!" Of course this is a work in progress, so who knows what the final outcome will be, but it sure sounds bad.

(BTW - on the hedge fund managers...the rumor floating around DC is that Ways and Means have identified $7 - $8 billion that they want to tap from 300 or so hedge fund managers. They have been able to declare their own fund options as part of the fund's company capital gains rather than as income - therefore paying lower taxes. Interesting....)


Comments:
Most of the people receiving these "rebates" didn't pay taxes anyway - so if you're getting more back back than actually paid, is that really a "rebate?"

You want "stimulus?" Cut friggin' corporate taxes.
 
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