The only things in the stimulus plan that I and likely many of you were looking forward to have been cut in the conference! The compromise reached in the conference reduces the promised tax rebate from $500 to $400 for singles and $1000 down to $800 for couples, removes the ability to deduct interest paid on new cars (although sales tax deduction remains) and MOST disappointingly reduces the $15,000 tax credit for ANYONE who buys a home to an $8000 credit for FIRST TIME home buyers who purchase by August 2009.
How can anyone be satisified with a tax rebate of $400? I laughed at the $500 proposal as too small and now am left to wonder what really is going on. I would much rather have the tax rebate left at $500 or even higher instead of much of anything else in the bill.
Cars and houses can get the economy moving and I was ready to buy. Now that the tax credit is substabntially reduced the number of people, like myself, on the fence about buying a house and gettting the economy moving again is reduced. The $15,000 tax credit for ANYONE who bought a house should have remained. $8000 for FIRST TIME buyers automatically reduces the universe of eligible people. For me, this is a huge mistake. Anyone is eligible for the car sales tax deduction, but why not allow us to deduct the interest?
This stimulus plan is now weak. It will do little to promote the actions which are really necessary. Many of the other items are surely needed, but can be part of the regular budget process. Stimulus should be unique spending direted at jobs and the economy. The removed and/or reduced items weaken the impact of this stimulus plan.
So, I ask the following poll question: