Washington, DC - Congressman Edolphus Towns, 10th District, New York, today praised the enactment of a bipartisan economic stimulus plan after President Bush signed the Recovery Rebates and Economic Stimulus for the American People Act.  More than eight million families in New York will receive tax rebates of up to $1,200 per couple, plus $300 per child as early as mid-May.  By getting money into the hands of America’s families and small businesses, the plan is expected to add 500,000 jobs to the economy.

“Democrats, Republicans and the President worked together and we’re delivering real relief to families in New York,” said Congressman Towns. “The plan signed into law today will give our economy a boost, creating jobs and making it easier for families to make ends meet.”

The plan will provide a tax rebate for the low and middle-income families who are being hit hardest by the economic downturn. More than 130 million families, including 35 million families across the country who work but make too little to pay income taxes will receive a tax rebate. The plan will also provide recovery rebate checks to 28 million households of senior citizens and disabled veterans.

The bipartisan legislation also includes tax cuts for small businesses, doubling the amount small businesses can immediately write off their taxes for capital investments, and encouraging investments in new equipment.  Additionally, the plan offers immediate tax relief for all businesses that invest in new plants and equipment by speeding up depreciation provisions, allowing firms to write off an additional 50 percent for investments purchased in 2008.

“Small businesses create jobs and power our economy,” added Congressman Towns. “Our plan will create 500,000 jobs and give these businesses the chance to expand and hire more workers.”

More importantly, the bipartisan plan also 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.                                      

###

Return to Congressman Towns' website