How much money will the IRS make from the stimulus package that is approved for this year?

How much money will the Federal Govt make from the stimulus package that is set forth?

How much money will the IRS make from the stimulus package that is approved for this year?
Not a dime. First of all, all that will happen at first, is that those who desperately need the cash will pay down existing bills, no extra tax money there for IRS. Then those further up the income chain will put some cash away for the rain day. Those next on the ladder will use it for investment or a vacation, but when you get that far up the ladder, the rebate is good for only one or two nights in a nice hotel.





One congressman said that this is like putting a glass of water in the ocean. Good analogy.
Reply:The IRS is not in the business of making profit. Our country itself is drowining in debt and the tax rebates that are propsed for the stimulus package will actually be borrowed from countries like China, so we will end up paying back this "free money" over many years with interest. The whole thing is just another smoke screen to make us believe that our government actually has even a little bit of control over the US economy.
Reply:The IRS does not make any money. They operate on a budget just like any governmental agency (federal, state, county or city).
Reply:That is the unknown. Guess that depends on what people intend to do with it--spend or save. I've heard conflicting answers as to whether it becomes taxable interest for our 2008 taxes. So they will no doubt get some back through taxes that way. When you consider the overhead costs of sending the money out, it might not make any.
Reply:If the give out 150 billion dollars, then if it is all spent by people who pay 5% sales tax you would generate around 7 billion 500 million dollars - thats $7,500,000,000





100 billion dollars @ 5% sales tax would generate 5 billion dollars in sales tax.





then you have to consider the corporate taxes that will be paid on the money if it is all spent. And you will have taxes generated by the peoples income of those who work for companies that make the things people will buy. But most of that goes to china so not a lot there. ??





And it will only cost taxpayers 100+ billion dollars - they cant pay for the war - how they gonna pay for this.





Print more at the U.S. mint.





As for whether or not it is taxable - if people don't remember, Bush did this earlier in his presidency and it WAS taxable or was considered a advance on any taxes paid the following year. One thing you can be sure of is that there is no such thing as a free lunch. WE will pay for the governments lack of responsibility with money.
Reply:Why don't they just let us pay less taxes this year instead of charging the taxpayers the cost of turning around and cutting checks for millions of people? envelopes, paper, printing, etc.. the question is, how much money will the U.S. postal service make?