Economic Stimulus

/Economic Stimulus

Coronavirus and Main Street

How the coronavirus plays out in the public health sphere is anybody’s guess, but its current progress all but demands a response from Congress.  What might that look like?  Here’s what some of the experts are saying: Cornerstone Macro – “Investors expecting a loud, bipartisan “amen” to calls for a massive bipartisan fiscal stimulus are not likely to hear it today.  Something is likely to happen, but the timing and size are uncertain.  Right now almost no one knows what they support, including President Trump.”  March 10th Capital Economics – “Coronavirus outbreak to prompt fiscal response.  It looks increasingly likely ...

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Coronavirus and Main Street2020-03-11T18:31:25+00:00

Congress Reaches Deal on Stimulus

Sometimes, Congress meets a deadline. Six weeks ago, congressional leadership and the new Obama Administration had set out the Presidents' Day recess as the deadline for getting the economic stimulus package to the President's desk. With the House's vote on final passage today and the Senate expected to consider the bill as early as this evening, all indications are they'll make it. Here's a quick summary of the $789 billion package as outlined by the conferees: $301 billion in family and business tax relief (down from $350 billion in the Senate bill). $70 billion in renewable and energy efficiency provisions. ...

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Congress Reaches Deal on Stimulus2019-02-06T17:22:35+00:00

Stimulus Update

The Washington Post reports that the Senate Stimulus bill is short of the 60 votes needed for it to move through the chamber. As the Post noted: Senate Democratic leaders conceded yesterday that they do not have the votes to pass the stimulus bill as currently written and said that to gain bipartisan support, they will seek to cut provisions that would not provide an immediate boost to the economy. The vote in the House did not help, with all Republicans and 11 Democrats opposing the House version of the package. The unified Republican opposition in the House will likely ...

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Stimulus Update2019-02-06T17:22:35+00:00

BIG Reform Included in Finance Committee Mark!

Big news for S corporations! S-CORP champions Senator Blanche Lincoln (D-AR) and Orrin Hatch (R-UT) have succeeded in securing BIG reform in Senator Baucus' (D-MT) version of a stimulus package! As S-CORP readers know, BIG reform has been a top priority for S-CORP. BIG reform could potentially free up billions in locked-up capital that could be used to buy new equipment, build more plants and hire new workers - exactly what the economy needs during this economic crisis. As the Joint Committee on Taxation describes the provision: "The proposal would reduce temporarily the S corporation built-in gains holding period from ...

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BIG Reform Included in Finance Committee Mark!2019-02-06T17:22:35+00:00

Stimulus Introduced in House

The House Leadership released an outline of its proposed stimulus package yesterday with few surprises. The total package is $825 billion with $550 billion in new spending and $275 billion in tax relief. On the spending side, the package includes $550 billion in spending, and $275 billion for tax cuts. Some of the tax highlights include: Making Work Pay Credit - offsets payroll taxes on the first $8,100 of earnings Expanded Earned Income Tax Credit Bonus depreciation A five year carry-back of net operating losses (excluding companies receiving TARP benefits, Fannie Mae, Freddie Mac) Extension of increased small business expensing ...

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Stimulus Introduced in House2019-02-06T17:22:35+00:00