# Is this cnn report about the stimulus bill in error?

**URL:** <https://boards.straightdope.com/t/is-this-cnn-report-about-the-stimulus-bill-in-error/485711>\
**Category:** Factual Questions\
**Created:** [February 13, 2009, 5:41pm UTC](https://boards.straightdope.com/t/is-this-cnn-report-about-the-stimulus-bill-in-error/485711 "2009-02-13T17:41:38Z")\
**Posts on this page:** 8\
**Page:** 1

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**Author:** ![sweeteviljesus](https://avatars.discourse-cdn.com/v4/letter/s/898d66/32.png) [@sweeteviljesus](https://boards.straightdope.com/u/sweeteviljesus)\
**Post date:** [February 13, 2009, 5:41pm UTC](https://boards.straightdope.com/t/is-this-cnn-report-about-the-stimulus-bill-in-error/485711/1 "2009-02-13T17:41:38Z")

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A [report](http://www.cnn.com/2009/POLITICS/02/13/stimulus.winners.losers/index.html) on the final stimulus bill contains this:

> [@](#):
>
> Car buyers: Anyone who buys a new car in 2009 gets to deduct the sales tax. To qualify, buyer must make $125,000 individually or $250,000 jointly. Cost is $1.7 billion.

Do they have that right? Also, isn’t sales tax already deductible or is that a state by state thing?

Thanks,  
Rob

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**Author:** ![Driver8](https://avatars.discourse-cdn.com/v4/letter/d/b5a626/32.png) [@Driver8](https://boards.straightdope.com/u/Driver8)\
**Post date:** [February 13, 2009, 5:51pm UTC](https://boards.straightdope.com/t/is-this-cnn-report-about-the-stimulus-bill-in-error/485711/2 "2009-02-13T17:51:46Z")

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> [@sweeteviljesus](#):
>
> A [report](http://www.cnn.com/2009/POLITICS/02/13/stimulus.winners.losers/index.html) on the final stimulus bill contains this:
> 
> Do they have that right? Also, isn’t sales tax already deductible or is that a state by state thing?

Unless TurboTax has led me astray, it looks like at the federal level you can deduct either the income tax you paid to states or the sales tax, but not both. As far as I understand, this rule would make this an above the line deduction, so you could deduct it even if you took the income tax deduction, and even if you weren’t itemizing.

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**Author:** ![ivylass](https://avatars.discourse-cdn.com/v4/letter/i/9de053/32.png) [@ivylass](https://boards.straightdope.com/u/ivylass)\
**Post date:** [February 13, 2009, 6:03pm UTC](https://boards.straightdope.com/t/is-this-cnn-report-about-the-stimulus-bill-in-error/485711/3 "2009-02-13T18:03:29Z")

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The problem is, who the hell keeps their receipts for every little purchase? I live in Florida, (no income tax) and I think this is new if you itemize.

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**Author:** ![Gangster\_Octopus](https://avatars.discourse-cdn.com/v4/letter/g/a8b319/32.png) [@Gangster\_Octopus](https://boards.straightdope.com/u/Gangster_Octopus)\
**Post date:** [February 13, 2009, 6:15pm UTC](https://boards.straightdope.com/t/is-this-cnn-report-about-the-stimulus-bill-in-error/485711/4 "2009-02-13T18:15:44Z")

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What I want to know is why is this only available to high incomes?

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**Author:** ![gazpacho](https://avatars.discourse-cdn.com/v4/letter/g/6f9a4e/32.png) [@gazpacho](https://boards.straightdope.com/u/gazpacho)\
**Post date:** [February 13, 2009, 6:19pm UTC](https://boards.straightdope.com/t/is-this-cnn-report-about-the-stimulus-bill-in-error/485711/5 "2009-02-13T18:19:45Z")

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> [@Gangster\_Octopus](#):
>
> What I want to know is why is this only available to high incomes?

I believe that it is a typo and the deduction is NOT available to people with the higher incomes.

[http://www.baltimoresun.com/news/nation/bal-te.autos13feb13,0,1583249.story](http://www.baltimoresun.com/news/nation/bal-te.autos13feb13,0,1583249.story)

> [@](#):
>
> According to Mikulski’s office, a family that takes advantage of the new-car tax break will pay between $300 and $600 less in federal taxes next year. Families earning up to $250,000 a year and individuals who earn up to $125,000 are eligible for the tax break.

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**Author:** ![gotpasswords](https://avatars.discourse-cdn.com/v4/letter/g/c57346/32.png) [@gotpasswords](https://boards.straightdope.com/u/gotpasswords)\
**Post date:** [February 13, 2009, 6:23pm UTC](https://boards.straightdope.com/t/is-this-cnn-report-about-the-stimulus-bill-in-error/485711/6 "2009-02-13T18:23:39Z")

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What’s the point of limiting a stimulus to people making 6-figure incomes? I’d think it’d make more sense to be for people making under something like $30,000 annually.

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**Author:** ![gazpacho](https://avatars.discourse-cdn.com/v4/letter/g/6f9a4e/32.png) [@gazpacho](https://boards.straightdope.com/u/gazpacho)\
**Post date:** [February 13, 2009, 6:26pm UTC](https://boards.straightdope.com/t/is-this-cnn-report-about-the-stimulus-bill-in-error/485711/7 "2009-02-13T18:26:48Z")

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> [@gotpasswords](#):
>
> What’s the point of limiting a stimulus to people making 6-figure incomes? I’d think it’d make more sense to be for people making under something like $30,000 annually.

They are not limiting the package to 6 figure incomes. The linked cnn article is mistaken.

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**Author:** ![Gangster\_Octopus](https://avatars.discourse-cdn.com/v4/letter/g/a8b319/32.png) [@Gangster\_Octopus](https://boards.straightdope.com/u/Gangster_Octopus)\
**Post date:** [February 13, 2009, 6:28pm UTC](https://boards.straightdope.com/t/is-this-cnn-report-about-the-stimulus-bill-in-error/485711/8 "2009-02-13T18:28:48Z")

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> [@gazpacho](#):
>
> They are not limiting the package to 6 figure incomes. The linked cnn article is mistaken.

You want me to believe that something on the Internet isn’t correct?
