As President-Elect Barack Obama gets ready to take office, the question on many Americans’ minds is “Will I get another tax rebate?” This article shares predictions about a potential second stimulus check.
2009 Economic Stimulus Package: Will There Be a Second Stimulus Check?
The daily news is bursting with anticipation of what Obama’s presidency will bring. Seemingly on everyone’s mind is whether or not there will be a new economic stimulus package and if a second stimulus check will be in the mix. The media certainly plays up this aspect to quite a degree. A general consensus appears to be that there will be another stimulus package moving through Washington early in Obama’s presidency; however, this author predicts that more tax rebates for individuals will not be part of the deal.
Why not? Primarily because the United States is in dire need of new jobs, and a tax rebate given to individuals doesn’t directly stimulate job creation. On the other hand, government stimulus in the form of funds for infrastructure projects would boost the U.S. economy and fulfill Barack Obama’s promise to create new jobs.
The article Talk of a 2009 Obama Economic Stimulus Plan discusses infrastructure projects in more detail, including how they would create jobs and pump cash back into the economy.
If There Is Another Economic Stimulus Check: Who Probably Won’t Get 2009 Tax Rebates?
If there is a second round of tax rebates, not everyone will get one. The 2008 tax rebate was only given to those who paid taxes or had what was called "qualifying income" of at least $3,000. Taking the last round of government stimulus checks as a guide, and considering Barack Obama’s stances on taxes, it is safe to assume that there will be income caps on who will receive checks and income thresholds to qualify. Obama, on his campaign website, mentions tax breaks for "working Americans," which leads this author to believe that he would only give tax rebates to those who pay taxes or have some sort of equivalent to qualifying income from the 2008 tax rebate rules.
To recap, this author believes that 2009 tax rebates for individuals are highly unlikely. However, as job creation is a big concern, government stimulus by way of infrastructure projects is very likely. Parts of the 2009 economic stimulus package will be designed to create new jobs for the U.S. economy.
Update: The American Recovery and Reinvestment Act of 2009 was signed by President Barack Obama on February 17, 2009. This measure provides that one-time federal government economic stimulus checks be distributed to certain veterans, Social Security & Supplemental Security Income recipients, and railroad retirees. See the Suite101 articles $250 Stimulus Checks for Veterans & Retirees and Who Isn't Getting $250 Economic Stimulus Checks for more information.
Resource:
Barack Obama and Joe Biden campaign website
Another United States article:
Obama Health Care Reform for Americans
Lena Gott - Lena Gott is a Certified Public Accountant who gives practical financial advice to her readers.
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