Stimulus Deal Announced
As the news reported over the last couple of days, Administration and House leaders have agreed to a package of temporary tax relief to provide the economy with fiscal stimulus. As reported, the package would reduce revenues by about $150 billion over ten years. The major provisions are:
- Rebate checks (tied to a temporary cut in the 10% tax bracket) to families – $600 for singles making less than $75,000 and $1,200 for couples earning less than $150,000.
- Fifty percent bonus depreciation for business investment through the end of 2008.
- An increase in small business expensing (section 179) from $125,000 to $250,000.
- A temporary …