What about tax rebates?

  • Posted by a hidden member.
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    Sep 14, 2010 9:02 PM GMT
    So some people are arguing that tax cuts are an absolute good (how something that is defined by the absence of something can be an absolute good just dumbfounds me), while others say that tax cuts only serve to enrich the savings of the already-affluent (we won't say "wealthy") without stimulating the economy and worsening the debt problem.

    Newsweek ran a short blurb about how Oklahoma is getting more people moving to the state because it gave a 5% rebate on every job created by companies.

    Why can't the federal government do the same for a tax credit/rebate for everything you bought, at, say, a certain percent for those earning less and a lower percent for those earning more? Such a tax credit/rebate would essentially get rid of the problem of companies/individuals saving without boosting the economy if we gave them free tax cuts, i.e. not geared towards stimulating the economy. Of course, just like everything else, this should be phased out as the economy improves, to avoid inflation.
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    Sep 14, 2010 11:11 PM GMT
    I think it's an interesting idea. I remember when NYC eliminated the sales tax for a few weeks each summer and it really helped boost clothing and apparel sales. This sounds like it could be similar.