Saguaro
01-31-2008, 01:49 PM
WASHINGTON (Reuters) - Treasury Secretary Henry Paulson said on Thursday he was concerned that the $157 billion stimulus package passed by the Senate Finance Committee was too complex and he prefers the simpler House of Representatives version.
"Complexity is our enemy and I'm concerned that the bill that has come out of the Senate Finance Committee is already too complex. Once it gets on the Senate floor it's in danger of looking like a Christmas tree," Paulson told reporters at a news conference to highlight the Earned Income Tax Credit for low income workers.
Paulson urged swift Senate action on the bill but cautioned senators not to load the bill up with pet spending projects and more tax breaks. He said the House resisted that temptation and its bill was simple, broad-based and bipartisan.
"I wish it were on the president's desk today so that we could sign it and start working to get the checks out," he said.
The Senate Finance Committee's bill would offer nearly all taxpayers rebates of $500 for individuals and $1,000 for couples, including some 20 million senior citizens that would not be included in the $146 billion House bill.
The House bill would offer tax rebates of $600 for individuals and $1,000 for couples, but these benefits would be adjusted based on income levels.
Paulson also reiterated that the Treasury, along with state regulators, was monitoring the financial health of private bond insurers that are struggling to maintain the top credit ratings necessary for their business.
He encouraged those insurers that needed capital to try to secure it from private sources.
"If you're in the financial services industry and you need capital or think you may need capital, I'm very much urging every organization and every institution to raise capital when they can get it," Paulson said. "Again, I think that's the theme for the private bond insurers, there's a lot of focus on market-based solutions here."
http://news.yahoo.com/s/nm/20080131/pl_nm/usa_economy_paulson_dc_2;_ylt=AiWXDbcgP4AZoz2kk8kG 5Yqb.HQA
"Complexity is our enemy and I'm concerned that the bill that has come out of the Senate Finance Committee is already too complex. Once it gets on the Senate floor it's in danger of looking like a Christmas tree," Paulson told reporters at a news conference to highlight the Earned Income Tax Credit for low income workers.
Paulson urged swift Senate action on the bill but cautioned senators not to load the bill up with pet spending projects and more tax breaks. He said the House resisted that temptation and its bill was simple, broad-based and bipartisan.
"I wish it were on the president's desk today so that we could sign it and start working to get the checks out," he said.
The Senate Finance Committee's bill would offer nearly all taxpayers rebates of $500 for individuals and $1,000 for couples, including some 20 million senior citizens that would not be included in the $146 billion House bill.
The House bill would offer tax rebates of $600 for individuals and $1,000 for couples, but these benefits would be adjusted based on income levels.
Paulson also reiterated that the Treasury, along with state regulators, was monitoring the financial health of private bond insurers that are struggling to maintain the top credit ratings necessary for their business.
He encouraged those insurers that needed capital to try to secure it from private sources.
"If you're in the financial services industry and you need capital or think you may need capital, I'm very much urging every organization and every institution to raise capital when they can get it," Paulson said. "Again, I think that's the theme for the private bond insurers, there's a lot of focus on market-based solutions here."
http://news.yahoo.com/s/nm/20080131/pl_nm/usa_economy_paulson_dc_2;_ylt=AiWXDbcgP4AZoz2kk8kG 5Yqb.HQA