Cutting the arrow tax misses the target
If you think that Congress is having a tough time nailing down the terms of a $700-billion bailout because of high-minded concerns about fairness, proper use of taxpayer funds or regulatory oversight, think again. Actually, it seems much of the horse-trading is over the amount of pork lawmakers can get away with inserting into the legislation.
Bloomberg News reports that dozens of tax breaks for a wide assortment of business interests are being added to the bailout package, mostly in an effort to bring recalcitrant Republicans on board. So, for example, Rose City Archery, an Oregon company that makes bows and arrows for kids, might be the beneficiary of a provision inserted by Oregon senators Ron Wyden and Gordon Smith to end a 39-cent excise tax on wooden arrows. Talk about giving taxpayers the shaft -- it's mystifying how these senators think we're going to pay for this bailout when they're busy cutting deals on behalf of special interests.
Not all the new provisions are bad, and some might even be good for the overall economy, such as a tax break for movie and television producers who film in the United States, which would stem runaway production and thus might even raise overall tax revenues from Hollywood. But mostly all this deal-making raises worries about the future of a country that solves its lending crisis by cranking up the national debt and then reducing the taxes that will be needed to pay it off.
"If you are under 13 years of age you may read this message board, but you may not participate" is there some way of applying this to the law writers in Washington?
JBP
Posted by: jbpo | October 01, 2008 at 06:01 PM
Whew! Now I can finally sell these 1.8 trillion wooden arrows!
Posted by: Mike M | October 01, 2008 at 08:13 PM
This is a really unfair post. There was no 'horse-trading' going on during the House vote. Now, when its become apparent that the political elites (including the 'quality' media) are going to push this thing until they get their way, a few politicians are looking for CYA. Hardly inspiring, but hardly shocking either.
At any rate, I bet that most of the House Republican 'no' voters will hold firm, in 90% range. Besides, the way things are going, we might just need the nation's wooden arrow making capacity to remain strong.
Posted by: Mitchell Young | October 02, 2008 at 12:14 AM
Here's the thing... everybody knows the "horse-trading" goes on. O.K. But, it shouldn't be going on in a bill that is to try to fix, or at least give some relief, to what's been called the worst economic crisis in 100 years. I mean, they have been shouting to us... we have to act NOW. Yet, they all had time to add their pork. And, we've had no time to review or comment. This is terrible. Whoever took advantage of this situation should be ashamed. I hope they are all named. On the front page.
Posted by: sus | October 02, 2008 at 02:56 PM