Economic Stimulus Package Bill and Tax Stimulus Plan Approved with Few Changes by Senate

There is a confirmed news that Congress/Senate has tenatively agreed on the Economic Stimulus Bill Package of 2008 - 2009 worth $790 billion. Unofficial talks went into tuesday night. The economic stimulus bill could be signed by obama anytime before this weekend.


Possible changes to the economic stimulus bill or tax stimulus bill:

1. "Making Work Pay" tax credit would be reduced from $500 per worker to $400, with couples eligible for an $800 credit, instead of $1,000.
2. Most likely 35.5 billion to provide a $15,000 homebuyer tax credit would be cut down. How much will be cut down isn't known yet but there is a possibility that this won't go as planned. There could also be an additional repayment clause added to this tax credit to ensure that money is not freely distributed. The original $7500 first time homebuyers tax credit had a repayment clause which needed the beneficiary to repay the $7500 over 15 years on $500 per year basis. $15000 homebuyer tax credit could mean that those who take this credit might need to pay $1000 per year to IRS while filing their tax returns.
   
3. There was also pressure to reduce a Senate-passed tax break for new car buyers.
4. Republicans trying to add $16 billion for school construction which could possibly create 10000 jobs.
   
5. Caterpiller CEO promises that if the stimulus pass is passed, they can hire back 22000 workers which were laid off.
6. $500 tax credit for 95 percent of workers, with $1,000 going to couples.
7. $10 billion increase for the National Institutes of Health
8. $70 billion for alternative minimum tax, or AMT, for one year. 24 million families could be saved from AMT tax or alternative minimum tax
   
9. Most likely the stimulus bill package won't exceed $800 billion