GM: The Taxpayer Giveth, The Taxpayer Taketh Away

Robert Farago
by Robert Farago

Thanks to politicians [bought and paid-for], The Big 2.8 are looking at a nice little earner courtesy of, well, you. The Detroit News provides the gory details. "The U.S. House passed a housing bill 272-152 late Wednesday that includes a provision allowing unprofitable companies to get credit for up to $30 million in capital investments. An earlier stimulus bill gave profitable companies $45 billion in depreciation credits for investments made during the year. Instead of the depreciation credits, unprofitable companies [that's Ford, GM and Chrysler] could accelerate R&D tax credits or alternative minimum credits in lieu of the depreciation provisions." In non-accountantant speak, The Big 2.8 get a $30m free ride for investing in their own biz, but not Toyondissan 'cause they're well-run companies. Meanwhile., Newstalk 1310 says Wisconsin is looking to claw some money BACK from The General, re: their Janesville Assembly Plant. "State leaders want to recoup about $8 million dollars of the grants given to GM a few years ago. They say the company is not maintaining required employment numbers. GM has eliminated hundreds of jobs in recent months. It plans to close the Janesville plant altogether by the end of 2010."

Robert Farago
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  • AJ AJ on Jul 25, 2008
    Meanwhile., Newstalk 1310 says Wisconsin is looking to claw some money BACK from The General, re: their Janesville Assembly Plant. "State leaders want to recoup about $8 million dollars of the grants given to GM a few years ago. They say the company is not maintaining required employment numbers. GM has eliminated hundreds of jobs in recent months. It plans to close the Janesville plant altogether by the end of 2010." Goes to show that the government always gets it's taxes.
  • GS650G GS650G on Jul 25, 2008

    Atlas Shrugged should be required reading for anyone trying to understand what is going on now.

  • Anonymous Anonymous on Jul 25, 2008

    If the government is going to bail out Fanny Mae and Freddie Mac, and Wall Street and the banks, why not GM? Bail out every loser. Just raise the taxes of the people that are intelligent enough to read a mortgage before they sign it.

  • Nudave Nudave on Jul 25, 2008

    First off, let me say I am not a lobbyist - never have been one, never will be one (bt I do like in the Metro DC area). Like most people who are functioning members of this society, I have "advocates" who look out for my interests, whether or not I personally approve or appreciate what they supposedly do on my behalf. What they don't have on Capitol Hill is lobbyists who represent the "Don't Know Shit About Practically Everything, but I Still Like to Bitch and Moan" slice of society. And BTW, just so you aborigines out there in Jesusland know, 300K per year ain't no big deal around here. You're paying the moron in the White House 400K per year and what are you gettng in return? If you helped put him there, go bitch to the guy who watches you shave every morning.

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