Tax Rebates Announced $300-$1200 rebate check

[quote name='JolietJake']Isn't spending it on pointless shit what they want everyone to do? To "Stimulate the economy."[/QUOTE]

General public will no matter what.
 
mxtxbass..

you know i do have a "decent" job by my area's standards.. I refuse to work in coal mines (which is the major indusrty where I live) so I have to make due with what I can.. which is 40 hours a week at a crappy restaurant cook job.. which is why i'm attempting to go to school on top of that.. i'm not saying you don't work hard.. i believe you do.. i'm just saying for the 20 thousand I get I probably physically work harder for it (meaning a year's work) where if you were making 40 K it would be half a years work.. so for every one year you work .. you are worth me working 2 years.. that was all I was trying to say..


I get where you are coming from.. my suggestion if you are making 75K a year why not save some of that money and be "poor" in that area for a few years then move to an area where the standard of living is much lower.. its the same advice you've given me. anyways it doesn't really matter.. you are correct.. people shouldn't use this on stupid shit like blu ray discs or ipods.. people should invest the money (hey, its like a 600 dollar free investment.. i'm considering gambling in some penny stocks or something) but as we all know.. the alure of new things is what drives us in USA so that will be a very small part of the population..

i'm with you on the idea.. and i too would like to know the "full disclosure" of why we are getting this now.. instead of later
 
[quote name='mtxbass1']See, that's the thing here. Nobody has said where this is coming from. Back in 2001, that's exactly what happened. It was like an "advance" on your tax return. They basically lowered the bottom tax from 15% to 10% and sent you the difference. This time around, who knows what they will do.[/quote]

They don't even know what they are doing, but I'm pretty sure most people will spend it on trash and then come next year bitch about how they got less back.
 
I'll be honest, if I get this rebate in June/ July I'll just be using it on my Vegas summer bday trip...gambling, strippers and booze FTW. This way I can stimulate two things at once.
 
Nevermind just saw we get them in July, had said i'd be paying off my CC bills but they'll be gone by then. I guess the goverment will just pay my car payment for two months and buy me a nice dinner.... I was just checking into this the other day after seeing it on the news awhile back and then never hearing any more about it.
 
[quote name='urzishra14']mxtxbass..

you know i do have a "decent" job by my area's standards.. I refuse to work in coal mines (which is the major indusrty where I live) so I have to make due with what I can.. which is 40 hours a week at a crappy restaurant cook job.. which is why i'm attempting to go to school on top of that.. i'm not saying you don't work hard.. i believe you do.. i'm just saying for the 20 thousand I get I probably physically work harder for it (meaning a year's work) where if you were making 40 K it would be half a years work.. so for every one year you work .. you are worth me working 2 years.. that was all I was trying to say..
[/quote]

I understand completely. Certain areas of the country are like that. However, a lot of people (not you) claim, "I'm stuck at the bottom, only making 20k" when that is their CHOICE to do so. Again, not you, but a vast majority of people who are "trapped" are so because they choose to be.

[quote name='urzishra14']
I get where you are coming from.. my suggestion if you are making 75K a year why not save some of that money and be "poor" in that area for a few years then move to an area where the standard of living is much lower.. its the same advice you've given me. anyways it doesn't really matter.. you are correct.. people shouldn't use this on stupid shit like blu ray discs or ipods.. people should invest the money (hey, its like a 600 dollar free investment.. i'm considering gambling in some penny stocks or something) but as we all know.. the alure of new things is what drives us in USA so that will be a very small part of the population..
[/quote]
See, for many folks it doesn't work that way though. Many people are unable to save even a drop when they make salaries like that. Of course, it's almost 90% of the time their fault (credit cards, other debt, etc), but they are still unable to get out of the trap.

I know some folks right now who make about 168k a year combined. They are always "broke". Knowing what I know about their finances, it's no surprise really. Having credit card debt, a car, a house payment, various "services" (maid, etc), cable tv, etc, etc, is where all their money goes. Yet, every month after month, they are still in the exact same situation. People have to want to take financial responsibility. They don't want to accept the fact that they are in trouble, and the cycle continues. Most of America does not want to do this. We'll "buy now and pay later". Yeah...we'll pay later alright.
 
Everyone bagging on the $300 for people who pay no FEDERAL taxes is missing the point that these people do pay PAYROLL taxes. I keep seeing this error repeated in the media over and over. The rebates go to working people who didn't make enough to pay Federal tax, but they did pay taxes in the form of Social Security taxes. The rebate might still be more than that, sure, but it mitigates somewhat the idea that they are getting something for nothing. And besides, those people are more likely to pump that money straight back into the economy, which is the idea (not that I think it is a good one).

In any case, this ludicrous plan will result in me getting a $2400 check (or possibly just $2100 as I'm not sure how it will work with the 4th child since he was just born late last year - are they going off soon to be filed 2007 tax returns or using 2006?). That is fucking insane, but I'll take it. It will probably go straight towards helping eliminate my home equity line of credit, though possibly the $300 for each kid will go towards their college funds (which they don't have yet and desperately need). So I'll do my best not to put my funds towards what they intend it to be for ;).

I do think it was pretty bad of the dems to cave in on extending the unemployment insurance as part of this deal. After all, in a recession or downturn or whatever you want to call it, that is probably the most important thing for actually helping people who need it (and that money will generally be spent ASAP as well). Keep in mind unemployment is only paid to people registered and actively looking for work - they can be pretty tough about that too (from experience a long while back ;)).
 
Well this is all news to me (since I've been living in Japan for almost 3 years now), but will the rebates only be going to people who PAID taxes or everyone who FILED?

My job is (US) tax exempt but since I'm a US citizen I still have to file every year.
I'm not entirely sure if I deserve it, but it'd be nice to find a check waiting for me when I move back to the States this summer. :D
 
[quote name='mtxbass1']Their plan didn't work back in 2001 either. In the end, they found out that a mere 21.8%(+/-3%) actually increased spending. The rest of the people either saved the money or paid down debt.

http://www-personal.umich.edu/~shapiro/papers/aer2003-aeaweb.pdf

I'd suggest everyone who wants to know what people actually did with the money read this study that was comissioned. It is quite fascinating. People in debt paid off debt. People who were savers to begin with (those building wealth), just simply saved more.[/quote]

THAT is why they want to give the money to the people too poor to pay income taxes.

They, statistically, are far more likely to spend it.

All of this is just reducing further the global faith in the US ecnonomy... along with the recent rate cut. Self fulfilling prophesy..
 
[quote name='Derwood43']Non tax payers are eligible for the $300.00 check.

[/quote]

I don't see how the hell people who don't pay income tax are eligible for a tax rebate check.
 
[quote name='mtxbass1']See, that's the thing here. Nobody has said where this is coming from. Back in 2001, that's exactly what happened. It was like an "advance" on your tax return. They basically lowered the bottom tax from 15% to 10% and sent you the difference. This time around, who knows what they will do.[/QUOTE]

Yeah, that is what I was thinking....so this would be my scenario.

I should get a $1500 check (married w/child).

But lets say NEXT year taxes (filed in 2009) I was to get $3000 back (just using easy number). NOW, would I only get $1500 back since they already gave me $1500 earlier? If so, that sucks for me.

I use my tax return to pay my property taxes generally (as I do not pay with my mortgage).
 
[quote name='io']

I do think it was pretty bad of the dems to cave in on extending the unemployment insurance as part of this deal. After all, in a recession or downturn or whatever you want to call it, that is probably the most important thing for actually helping people who need it (and that money will generally be spent ASAP as well). Keep in mind unemployment is only paid to people registered and actively looking for work - they can be pretty tough about that too (from experience a long while back ;)).[/quote]

I, too have been there.

If memory serves, from an article I read last night, Several dems AND reps were ticked about the UI thing, and are drafting a separated legislation for that purpose.
 
Okay, I got my w2 today. Im filing tomorrow. Is there anything I need to do to get the rebate or they just sending them to everyone that fits the parimeters.
I work at a car dealership, made about 15k last year, college student that still lives at home, and I claim myself just to let you guys know. I should get 600$ right?

Edit-Shit, no way my dad will give me that money cause he pays for my college.
 
[quote name='GuilewasNK']I don't see how the hell people who don't pay income tax are eligible for a tax rebate check.[/QUOTE]

read io's post about 3 back.
 
[quote name='doubledown']Yeah, that is what I was thinking....so this would be my scenario.

I should get a $1500 check (married w/child).

But lets say NEXT year taxes (filed in 2009) I was to get $3000 back (just using easy number). NOW, would I only get $1500 back since they already gave me $1500 earlier? If so, that sucks for me.

I use my tax return to pay my property taxes generally (as I do not pay with my mortgage).[/QUOTE]


Thats what I want to know... or is it you just pay your tax brackets taxes on the $1500 (Doubledowns number above)? So if you were in the 25% bracket (lets keep it easy for arguments sake) you would "lose" $375 of next years taxes?
 
If I am reading this correctly, then I should get the full $1200 plus $300 for my new baby. Sweet! I'm thinking half towards the hardwood floors and half into my Roth IRA.
 
[quote name='mykevermin']


I don't imagine that Pelosi made this suggestion, but probably accepted it as a matter of compromise in order to pass the bill quickly. Let's not fool ourselves: the Dems are in power, but in the process, their collective spine remains homeless and missing. A genuine stimulus package that would benefit businesses without tax breaks (e.g., instituting a maximum wage, rolling back Bush's tax cuts, increasing the FICA cap, etc. - things that might (OH NO!) harm the rich, but not businesses) and would provide money to "average folks" at the same time would be best - but would be filibustered by Republicans with a quickness. Despite being the majority, the spineless Dems would rollover for that.[/QUOTE]
I know this. What I'm saying is they need to stop being so spineless. Democrats aren't really Democrats if they just roll over for the Republicans and do as they say.
 
I'd just like to point this out since it seems appropriate to the thread. If you are getting back a large amount of money in your normal tax return, you're having to much taken out of your check. People seem to be happy about getting back a few grand every year, when the truth is that they are having to mcuh taken out of their pay. You're giving the government what amounts to an interest free loan for a year.
 
This is total crap. When did this become a wealth-redistributing commie nation? You just know that 99.99% of people are going to blow it on electronics or something else completely unnecessary.
 
[quote name='JolietJake']I'd just like to point this out since it seems appropriate to the thread. If you are getting back a large amount of money in your normal tax return, you're having to much taken out of your check. People seem to be happy about getting back a few grand every year, when the truth is that they are having to mcuh taken out of their pay. You're giving the government what amounts to an interest free loan for a year.[/QUOTE]

Yup, too many people don't realize this. You actually should be *pissed* if you end up with a large refund because it means that the government has been ripping you off.
 
[quote name='javeryh']This is total crap. When did this become a wealth-redistributing commie nation? You just know that 99.99% of people are going to blow it on electronics or something else completely unnecessary.[/QUOTE]

You must have missed this:

Pelosi, D-Calif., agreed to drop increases in food stamp and unemployment benefits during a Wednesday meeting in exchange for gaining the rebates of at least $300 for almost everyone earning a paycheck, including those who make too little to pay income taxes.
Click to expand...

Wealth redistribution indeed. Also, $70 Billion of the $150 are tax breaks for businesses. So much for your hybrid Robin Hood/"welfare queen" theory.
 
[quote name='javeryh'] You just know that 99.99% of people are going to blow it on electronics or something else completely unnecessary.[/QUOTE]
I believe that's the point of "economic stimulation." At least in the minds of these idiots.
 
He's not lowering food stamp and unemployment benefits to make up for this - he's dropping the (planned?) increases. Either way, I'm against handouts in general no matter what form they take.
 
[quote name='javeryh']I'm against handouts in general no matter what form they take.[/QUOTE]
Says the lawyer making a six-figure salary and living an extremely comfortable life. You may have had hardships to get there, but I'm sure you had some help along the way.
 
It's all handouts, IMO. If they really want to help why not just lower the tax rates across the board to make up the difference? This way, people (and companies, I suppose) would just owe less to the government going forward instead of getting a rebate check back that they will likely spend on hookers and blow. I also don't really see what's wrong in treating businesses and individuals differently because they are.
 
Are they REALLY handouts though? We MIGHT be taxed on them next year, so it's basically an advance on your taxes. So, I can get $1500 in June or $1500 next January in my tax returns. Unless it truly is "free" money. I'm confused by rebates...I think there is NO decision how this income will be taxed also.
 
[quote name='bigdaddy']Once again people, this isn't free money, you will have to pay for it next year![/QUOTE]

How was it paid for in 2001? I forget.

Seriously.
 
[quote name='mtxbass1']As I expected, I make too much money. fuck.

Once again, the middle class gets screwed.[/quote]"The rebates would phase out gradually for individuals whose income exceeds $75,000 and couples with incomes above $150,000, aides said."

Since when was $75,000 "middle class"? Man, I hope I can be a middle class citizen one day!
 
Guess I won't be getting anything, not that I need it.

IMO if they are instituting a plan this desperate we must be more fucked than we realize....

[quote name='VanillaGorilla']Since when was $75,000 "middle class"? Man, I hope I can be a middle class citizen one day![/QUOTE]

It's relative. If you lived here in the SFBay area and made only that much you'd be living in a shack and eating Ramen.
 
[quote name='mtxbass1']As I expected, I make too much money. fuck.

Once again, the middle class gets screwed.[/quote]$75k+ for singles and $150k+ for married is now middle class? Where do you live?


Thanks government, for another election-year-bipartisan bill that does nothing but pander to the lower class and poor. Sorry, but $150B in a $14T economy is not going to do squat. And as others have stated, since this isn't a tax cut, we'll likely see the difference made up in taxes over the next couple of years.

The worst thing is that a large majority of beneficiaries of this is going to be people who don't pay takes anyway (the bottom 50% of income earners in the country only pay 3% of the total taxes). And many of these people (me included, as a student) already get an EIC on top of a full tax refund anyway. This is the kind of political joke that puts our country further and further in the tank.
 
[quote name='MorPhiend']$75k+ for singles and $150k+ for married is now middle class? Where do you live?
[/quote]

The "middle class" is always a fuzzy line. You have those who make 40k a year that consider themselves "middle class" and you have those who make 100k a year also consider themselves middle class. It is relative really as there is no "hard line" as to what is and what isn't middle class. What may be middle class (or even upper middle class in one state) might qualify for upper lower class in another. For the record, I'm down south. I consider myself towards the upper middle, but again, this is relative to my location. While I'm well above the cutoff point for a single person, compared to other areas, I might not even be considered in the middle.

A lot of people coming in to this thread are not understanding that you qualify based on taxes you paid LAST tax year (2006). Just now getting your W2 for 2007 and asking if you qualify will do you no good.
 
[quote name='MorPhiend']Thanks government, for another election-year-bipartisan bill that does nothing but pander to the lower class and poor.[/QUOTE]

Yeah, the poor are TOTALLY thankful for the $70 billion in tax breaks for business.

You are indeed from Provo.
 
[quote name='mtxbass1']As I expected, I make too much money. fuck.

Once again, the middle class gets screwed.[/QUOTE]
:lol: Oh poor you, you miss out on a couple hundred dollars because you make over 75k a year! Cry me a fucking river.
 
[quote name='MorPhiend']The worst thing is that a large majority of beneficiaries of this is going to be people who don't pay takes anyway (the bottom 50% of income earners in the country only pay 3% of the total taxes). And many of these people (me included, as a student) already get an EIC on top of a full tax refund anyway. This is the kind of political joke that puts our country further and further in the tank.[/QUOTE]


Why is that the worst thing? Those people are the most likely to spend the money frivolously which is exactly the point of this plan in the first place.

The actual worst thing is more evidence that our economy is screwed.

The political joke which is putting our country further and further into the tank is called the Bush Administration.
 
[quote name='MorPhiend']$75k+ for singles and $150k+ for married is now middle class? Where do you live?


Thanks government, for another election-year-bipartisan bill that does nothing but pander to the lower class and poor. Sorry, but $150B in a $14T economy is not going to do squat. And as others have stated, since this isn't a tax cut, we'll likely see the difference made up in taxes over the next couple of years.

The worst thing is that a large majority of beneficiaries of this is going to be people who don't pay takes anyway (the bottom 50% of income earners in the country only pay 3% of the total taxes). And many of these people (me included, as a student) already get an EIC on top of a full tax refund anyway. This is the kind of political joke that puts our country further and further in the tank.[/quote]

The quote below actually states under 75K for singles and under $150k couples is considered middle class, anything above and they'll be getting less of a tax break. Still the $75K barrier is extreme, and that's coming from someone who lives and works in SoCal...one of the most expensive places in the US.

The rebates would phase out gradually for individuals whose income exceeds $75,000 and couples with incomes above $150,000, aides said.
Click to expand...
 
Yeah, I think the 75K seems a bit low, but for some reason the 150K seems high to me... (I guess, since I've been married so long I think of all income as "household" income so 75K for a couple would be low, but 150K is more than enough. I'd consider a household income over 150K to be above middle class for sure). Anyway, no big deal...

If this is really just an "advance" on next year's taxes then it is all pissing in the wind anyway. In fact, it could get people in trouble down the line if they spend it thinking it is "free money" when in fact it is not. Why is it that the news reports are not clear on this point? Either it is a one time payout that puts the govt into more debt but is "free money" as far as the recipients are concerned, or it is a shell game where they simply move taxes around and it means nothing in the long run. Either way it sounds like a bad idea, but of course in an election year this is a no-brainer I guess. Bread & circuses...
 
There is no nation wide definition of the classes. Different states/cities have different costs of living. 75k here would be middle or higher, but it some areas thats probably bearly middle if not lower.
 
[quote name='blackjaw']Exactly what they want you to do!

See, the governments economic policy works![/QUOTE]
Inflation~

I don't know what I'm gonna do with my bread.
 
something I suppose I don't understand in all of this and damned if I've not seen it mentioned anywhere online or in print ... but how does this affect people who might be drawing retirement/disability from the SSA?
 
Woohoo! for $600 more to spend on video games. Wait a minute. I already own all the next gen systems and most the games I want this year I will have before the check comes so I don't know what I'm going to do with it.
 
[quote name='Chris Dillon']The patriotic thing to do that would help the economy the most is to spend it like it isn't yours. That would help the economy out a lot.[/quote]

the problem is, in order to help the economy A LOT of people have to do that, which is dobutful

with all the talks of recession in the media, im sure there will be a good portion of people who will hold on to this money due to fears.
 
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