People say that cutting taxes will inspire people to spend. I agree that it will take a load off many citizens. We should cut taxes. Government is too big and needs to go on a diet. But, in a bad economy the people tend to save their money while Government tends to spend money.
All this money is going to big business who's greed and anti-patriotic tactics caused this problem. I personally do not trust these people to do the right thing. They are the ones who got us in this situation in the first place. We need to go to a higher authority the people!
One variation of my proposed plan is a Citizen bailout in the range of $200,000 per 5 plus year tax paying US Citizen household in the form of a government issued credit card. Another variant would to issue a card to households who payed x dollars in taxes based on % income. The idea is to issue the checks to the real tax payers of the Country. The card can only be spent on Products provided by US Owned Companies
No credit card or secondary loan payoffs allowed. There will be an a existing mortgage payoff cap based on your salary and a strict new mortgage percentage based on your ability to pay the loan (IE deposit only). The idea is not to pay off all the mortgages but make them more manageable. The financial industry needs them.
Home improvements will be limited to 70% and be limited to services that are required. Not a new addition for the fun of it. Basic necessities like roofing, siding, driveways, plumbing, heat and water. In order to prevent contractor fraud this type of service will have the final 30% payment to extended up to 9 months after the expiration of the time limit to prevent contractor fraud. Payment will be issued by the government after home owner signature and inspection approval. A permit by the local County will be required for all these services to keep them legal.
I would also limit it to one car per family who does not own a car that is two years old or newer. Of course you will not be able to buy a new car 100% lets pick a number say 50% and you must be able to pay the remainder off based on the interest rate your credit score demands. Used cars will be maxed out at 20%.
I can go on and on...
To spend the money you use your credit card as normal. The seller is to confirm the good is approved by Washington and they are to provide you a tax form something like a 1099. That you MUST keep and report next year. Failure to report or if you commit fraud you will required to pay it back with interest and or prosecution depending on how blatant it is.
The time limit to use the card would be three months from the date you get your card to spend the money. If you do not spend it all the remainder goes back to Uncle Sam. Now that will get things moving.