Don’t spend it, just give it back
Published 12:00 am Tuesday, January 13, 2009
All across the country, the jockeying has begun.
State and national agencies and organizations are elbowing one another in an attempt to be first in line for the much-anticipated stimulus package expected with the impending inauguration of President Barack Obama.
But before our nation begins building bridges to nowhere and applying for grants from the government that infamously was caught spending exorbitant amounts of money on hammers and toilet seats years ago, perhaps we should consider a few things.
Part of the stimulus program that is being formulated is estimated to be nearly $1 trillion in scope.
Rather than spending money that we don’t have on things that we may not even need in the first place, what if the federal government did something different for a change, something that would have quick impact?
In 2007, the Internal Revenue Service collected approximately $2.69 trillion in income tax revenue.
Why not provide an income tax cut for a year equal to the $1 trillion that the government is considering spending?
Imagine if all individuals and businesses received a more than 30-percent rebate off last year’s federal income tax.
The money saved could easily either add to the deposits that banks have on hand, thus freeing up more capital that banks could lend, or the funds could be applied to personal and business needs that could quickly jump start a sluggish economy and sluggish personal income, too.
Before we start throwing around expensive federal bricks and mortar, we need to invest in common sense and put the money back in the hands of the people who made it in the first place.