Congress Passes Economic Stimulus Act of 2008
2/14/2008
On Feb. 13, President Bush signed the "Economic Stimulus Act of 2008" into law. The Act provides for a rebate credit for 2008 to eligible individuals, including retirees receiving only Social Security income, and disabled veterans and their survivors. Starting in May, the Treasury will begin sending economic stimulus payments to more than 130 million households. To receive a payment, taxpayers must have a valid Social Security number, $3,000 of income and file a 2007 federal tax return. IRS will take care of the rest. Eligible taxpayers will receive between $300 to $600 if single or $600 to $1,200 if married filing jointly. Millions of retirees, disabled veterans and low-wage earners who usually are exempt from filing a tax return must do so this year in order to receive a stimulus payment.
The Stimulus Act also encourages businesses to buy more capital goods and equipment in 2008 by boosting expensing and reinstituting 50% bonus first-year depreciation. In addition, the otherwise applicable "luxury auto" cap on first year depreciation is increased by $8,000 for vehicles that qualify.
Click on this link for more information on the Stimulus Act of 2008.