BISHOP BACKS BIPARTISAN ECONOMIC STIMULUS PLAN
Offers Tax Rebates, Mortgage Relief to Millions of New Yorkers
Today, Congressman Tim Bishop joined an overwhelming bipartisan majority in the House of Representatives in support of the Recovery Rebates and Economic Stimulus for the American People Act. In New York, the legislation will help stimulate the economy, providing tax rebates worth $6.3 billion to 7,300,000 households across the state. Congress is determined to act quickly, so that families could receive tax rebates as early as mid-May.
"The stimulus package we passed today is a pragmatic compromise that will quickly put money in the hands of those Americans who most need it and who are most likely to spend it. Most economists agree that this is the best way to boost our economy," said Bishop. "Additionally, this bill contains important assistance to homeowners which will benefit high cost-of-living areas, such as Long Island."
The bill passed today provides a recovery rebate to 117 million families, including 13 million senior citizens. The broad-based stimulus package will provide tax relief of up to $600 per individual and $1,200 per married couple, plus an additional $300 per child.
Of critical importance to Long Island homeowners, the stimulus bill includes provisions to help families avoid losing their homes to foreclosure. The bill expands affordable mortgage loan opportunities for families at risk of foreclosure through the Federal Housing Administration. To enhance credit availability in the mortgage market, the measure also includes a one-year increase in the loan limits for single family homes from Fannie Mae and Freddie Mac from $417,000 to $729,750, which will benefit high cost-of-living areas, such as Long Island.
The legislation also includes tax cuts for small businesses. The plan doubles the amount small businesses can immediately write off their taxes for capital investments, and encourages investments in new equipment. Additionally, the plan offers immediate tax relief for all businesses to invest in new plants and equipment by speeding up depreciation provisions, so that firms can write off an additional 50 percent for investments purchased in 2008.