Rebate may jump-start failing economy
It will be like an additional refund check when Marion County residents receive tax rebate checks this spring and summer as part of a plan to boost the nation's economy.
President George Bush first proposed a $150 billion economic stimulus plan three weeks ago as an effort to give more U.S. citizens money to recirculate into the economy.
The House of Representatives passed the bill Jan. 29, and the U.S. Senate passed it Thursday.
Most single taxpayers will receive $600, couples $1,200, and $300 for each child under the age of 17.
This means that a family of four could receive $1,800.
Anyone with at least $3,000 in earned income in 2007 will receive $300, as will seniors on Social Security, even if they paid no income taxes. With the new measure for seniors, the estimated cost is $168 billion over two years.
The rebates phase out beginning at $75,000 in adjusted gross income for individuals and $150,000 for couples.
Recent surveys have indicated that not everyone who receives the tax rebate will spend it. Some say they will pay bills, others will put it into savings.
Economists predicted that the rebate could make the difference between a short or long recession.
The money being sent from Washington and added to the federal deficit represents about one percent of the nation's gross domestic product, and many economists said it should have a measurable impact.
