Senate Approves Tax Credit for Many New Car Buyers

[Purveyor]

Source: New York Times

WASHINGTON — The Senate on Tuesday pushed the cost of the economic stimulus package above $900 billion by adding billions for medical research and tax breaks for car buyers.

Angling to spur automobile sales as part of the economic stimulus package, the Senate voted to add an $11 billion provision to the bill that will allow most Americans to claim a tax deduction for the sales tax and any loan interest on the purchase of a new car between Nov. 12, 2008, and the end of 2009.

The vote, 71 to 26, in favor of the tax break for car buyers came as the Senate began to act on what is expected to be a long list of amendments to the stimulus measure. The House last week approved an $820 billion version of the bill, which is the top priority of President Obama and Democratic leaders in Congress. Mr. Obama has said the final bill should not cost more than $900 billion.

Later, by voice vote, the Senate added $3.5 billion for the National Institutes of Health, bringing the total price tag to just over $900 billion with additional increases to come.

Far more contentious debate is expected later in the week when Senate Republicans plan to put forward major changes to the bill, including efforts to bolster the housing market and to cut back spending initiatives in favor of broader and deeper tax cuts.

Read more: http://www.nytimes.com/2009/02/04/us/politics/04stimulus.html?ref=us

[sandnsea]

1. And opposed the $25 billion rail

and mass transit bill? This is fucking nuts.

[OhioChick]

2. This means jack shit for those without jobs...or in fear of losing their jobs. n/t

[Dont_Bogart_the_Pretzel]

4. Got that right!

:hi:

[Lost4words]

18. Spot on as always OhioChick!!

:loveya:

[Rosa Luxemburg]

3. I hope the tax deduction is for 'green' cars?

[cherish44]

11. Wish I could afford a hybrid, I'd buy one in a second

[glinda]

21. Yes. Should be only for higher mpg cars and greener cars. Change must start now!

[Rosa Luxemburg]

22. EXACTLY let's start now! They should drop the prices of Green cars

[GinaMaria]

20. Or American cars....

[SnoopDog]

5. Other jobs deleted " highway construction, public transportation and water and sewer"

These are real infrastructure jobs killed by republicans and one democrat - Landrieu (D-LA)

WHY ?????



"In other votes on Tuesday, the Senate rejected an amendment put forward by Senator Patty Murray, Democrat of Washington, that would have added $25 billion in public works projects to the recovery bill, including highway construction, public transportation and water and sewer projects.

That provision, which needed 60 votes to advance, failed by a vote of 58 in favor to 35 opposed."

[Itchyfinger]

6. Smoking Obama's White House needs an ash tray for this one!

It's one thing to provide tax incentives to people of moderate income for new, green-technology vehicles, but this bill, for the benefit of any billionaire scumbag who purchases a new limo, is evidence that the business-as-usual slime have still not been justly exterminated from Washington!

A bill which uses my tax dollars to pay for a rich f*cker's luxuries offends me far more than smoking - I would even advocate ashtrays in the White House, so that this POS could be properly disposed of!

[Wwagsthedog]

7. Welcome to DU IF

Please try not to pull the trigger on this thing just yet. You have to have a little faith first.

[Donnachaidh]

13. kinda hard to have faith when you've been out of work for MONTHS

And then you see that the government is only interested in giving tax credits to people who are STILL working. For cars that may or may NOT be green. Do you think it's FAIR to subsidize your neighbor's gas-sucking SUV, when another neighbor is losing their home because of unemployment?

The working class existed in the eyes of Washington before the election. We went back to being non-existent within a week of the swearing in. We don't count, because we were lucky enough to get pink slips, and pink slips don't pay taxes. :grr:

[Oldtimeralso]

8. If This Is A Real Stimulus Package

These tax breaks should be for only cars manufactured in America by American Companies.
This would help the "Big 3" and the American worker.

[WillYourVoteBCounted]

9. the rich can run out and get deals on new cars

right?

[Frank Booth]

10. Haven't unnecessary purchases of vehicles caused enough problems already?

Should we really be encouraging more of this behavior?

[cherish44]

12. I know what you mean

more SUVs, minivans and pickup trucks on the road. Ugh.

[liberal N proud]

14. I know this isn't popular here but I think it will stimulate jobs

If I am sitting on the fence about buying a new car, and I am, this could be enough to push me toward the purchase.

The more people that purchase cars because of the stimulus package the more autoworkers will go back to work.


Keep writing your congress people about high speed rail and other mass transit. I would love to see a high speed rail across this country. There are many trips that I would take it vs car or air.


Anything in the stimulus that creates jobs if OK by me. ANYTHING!

What jobs would tax cuts create, I want one example from those fucking republicans where tax cuts have created JOBS!

[Lost4words]

19. Dont do it! You will be rewarding them for bad behavior! nt

[ret5hd]

15. credit or deduction? There is a difference, ya know.

[high density]

16. Adding more complexity to the tax code...

We already have a lot of people in homes they can't afford. I don't think we should be giving Federally-funded incentives to purchase new vehicles as well.

[Lost4words]

17. This is GD Stupid IMO!

I will never buy a new car again, there are so many pre owned that I will keep going for years, I going Cuban in this regard.


I am tired of helping CEOs live like Pharos and am not goint to do it anymore.

this is more help for the execs that got us here. :wtf: :puke:

[FarCenter]

23. Stupid ammendment -- tax break for people who can afford a new car this year

Senator Mikulski's statement -- http://mikulski.senate.gov/record.cfm?id=307676&

“My amendment is simple. If you buy a new passenger car, minivan, or light truck by December 31st of 2009, you will get a tax deduction for your sales or excise tax and the interest on your loan. A family would save about $1,500 on a $25,000 car, not counting the additional incentives from dealers.

“This amendment is a big deal to families because a car is the second biggest purchase most families make. My amendment is targeted. Families with an income of more than $250,000 a year are ineligible. Cars costing more than $49,500 also are ineligible. This amendment also helps the environment because it gets more people into new cars and new cars are cleaner and more fuel efficient than old cars.

Promoting more over-consumption. Not green. Not fair.

Basically an auto dealer welfare measure. The bill has both Republican and Democratic sponsors, since the auto dealers are influential with both parties.

[FarCenter]

24. Even stupider -- you only get most of the benefit if you get a high interest rate car loan

http://mikulski.senate.gov/_pdfs/Press/autoownershiptaxamendment.pdf