New Rescue

The new and improved rescue bill has passed through the Senate and will be presented to the House for vote tomorrow. They no longer call it a bailout bill. That's a PR thing. Hard for Joe Six Pack to swallow bailing out too many times!

One of the sweeteners was something that was due to expire: the credit that allows individuals to deduct state and local sales taxes on their federal returns. I had no idea this little itemized line on Schedule A of our 1040 was due to expire. More and more people in my neck of the woods will be using that deduction. Chicago's sales tax is over 10%.

The new bill will provide a congressional oversight panel, to which the Financial Stability Board would report, would have five members appointed by House and Senate leadership from both parties. I liked the one suggestion that the oversight body would consist of business people outside the Congress. People with experience running commerce. At least there will be oversight. I do not believe they have authority, just reporting duties.

With this rescue in place, we should see the Dow back above 14,000 by the end of the year, right? Stop laughing.

'til later