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Old 04-08-2008, 12:54 PM
Your Neighbor Your Neighbor is offline
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Default Are they paying you for being an American?

How can they call it a tax rebate when a lot who are receiving it didn't pay anything to begin with?

Doesn't rebate imply pay in get back?
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Old 04-08-2008, 02:35 PM
ddelorenzo ddelorenzo is offline
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Alternate question:

How can they call it a rebate when it's money borrowed from our assumed future tax bills?
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Old 04-08-2008, 04:21 PM
timothytuxedo timothytuxedo is offline
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Quote:
Originally Posted by Your Neighbor View Post
Doesn't rebate imply pay in get back?
Not sure. Generally we think of it that way, but there might be some "rebate" deals where you end up getting paid.

Anyway, they are calling it a rebate to differentiate it from a tax credit...which would be a reduction of tax liability and of no interest to people who paid no taxes.

Part of the reason why people who pay the least (or nothing) are getting rebate checks is because they are the most likely group to spend it. A few hundred dollars in tax rebates will just disappear into the savings/checking accounts of upper income people. However, this same few hundered dollars is much more likely to be spent by people in the bottom income brackets. At least that is part of the theory.
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