Uncle Sam’s Boo-Boo
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Why is it the federal government can’t see the nose in front of its face? The auto industry is in a slump, major manufacturing is in a slump and the overall economy can’t get started.
Don’t they realize all of this started when they removed the income-tax deduction for interest expense?
There used to be a major justification for purchasing large-ticket items. You figured you could at least get part of it back in a tax refund.
This tax refund went back into the economy, creating new jobs which created more spendable income, generated more taxes, etc.
I have read that Congress is considering a tax cut to stimulate the economy. The fairest and best long-term means of doing this is to once again allow a deduction for interest expense. This would stimulate spending, create new jobs and increase the tax base long term.
Too many things are changed without considering the long-term ramifications, just like the luxury tax on boats destroying the boat-building industry.
We all make mistakes, which is fine, just as long as we admit it and correct it.
DOUGLAS FLANNERY
Westminster
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