The Cash For Clunkers program is adding to the activity at treasurers’ offices all around South Dakota. First, people were asking for proof of ownership, so they could show they owned their vehicle for a full year, allowing them to cash it in. Now, they’ll be returning to register their new vehicle. And when they do, new owners need to bring every bit of paperwork provided to them by their dealer.
“That means they need their title, their damage disclosure, their bill of sale and the dealers have 30 days to get that to them,” Minnehaha County Treasurer Pam Nelson said.
But many of those cashing in on the clunkers program are surprised when they get to the treasurer’s office windows. That’s because the government’s rebate of up to $4500 dollars for every clunker is taxable.
“They didn’t realize that would be taxable. A lot of people don’t realize that. So they’re not happy and kind of surprised when they find that out,” Nelson said.
For now, the biggest impact of the program hasn’t hit this office yet, as most of the paperwork is still in the hands of the dealers. But Nelson expects to see move activity in her office in the next month.
“I’m anxious to see what it’s going to be like. I have no idea how many people we’re going to see. Hopefully the dealers can process their paperwork in 30 days,” Nelson said.
And that’s when the line at this office will give some indication of how many cars the government program moved off of local lots.
Nelson adds that if you did recently purchase a vehicle, ensure your dealer gets you the paperwork in time because if they don’t you could pay extra interest and penalties.
Average Annual Operating Margin, General Motors
* Excludes one-time $20 billion accounting charge for retiree health benefits in 1992.
One probable reason for GM’s current meltdown is its untenable labor union legacy costs. These legacy costs
averaged about $7 billion per year between 1993 and 2007 and are probably at least $10 billion per year now. Considering that GM has never made as much as $10 billion in profit in a year and that its entire operating lossses in 2008 were $13.8 billion, you can see why this is a significant problem.
A new slogan for GM: “Government Motors, Your Warranty is Government Job 1″
Barack Obama a/k/a “CEObama” takes over GM (Government Motors) and pledges the U.S. Government will now cover your warranty. After reviewing the U.S. Constitution, I was unable to locate the specific clause written by our Founding Fathers which provides dear leader with this power. Your car warranty will now be covered by the same bureaucratic efficiency of the Department of Motor Vehicles, and the U.S. Post Office.
The Congressional Budget Office (“CBO“) projected an even larger 2009 budget deficit than initially anticipated by the Obama Administration. (Presidential Budget) The CBO provides Congress with:
Objective, nonpartisan, and timely analyses to aid in economic and budgetary decisions on the wide array of programs covered by the federal budget and
The information and estimates required for the Congressional budget process.
According to the CBO’s most recent analysis, Chairman MAObama’s budget will reach a 1.85 trillion dollar shortfall this year. The CBO additionally reported that between 2010 and 2019, the government’s deficits will total 9.27 trillion dollars, roughly 2.3 trillion more than the Obama administration reported.
With Turbo Tax Tim Geithner at the helm, one can only anticipate more miscalculations by this inept administration.
Those Congressional members who continue to feign outrage over the AIG bonus fiasco, should take a moment to actually read the United States Constitution. As various Representatives and Senators discuss ways to retroactively legislate a “tax” on those who received a bonus, one can only imagine what unconstitutional legislation will emerge from the hallowed halls of Congress. I have three words for those members considering this: “Bill of Attainder”.
Article I, Section 9, paragraph 3 of the United States Constitution explicitly provides :
“No Bill of Attainder or ex post facto Law will be passed.”
In U.S. v. Brown, 381 U.s. 437 (1965), the Supreme Court held that the Bill of Attainder clause is to be liberally construed in light of its purpose to prevent legislative exercise of judicial power and to prevent legislative punishment of designated persons or group. Any statute which attempts to retroactively tax named individuals, or persons or groups who received bonuses, would constitute a Bill of Attainder and be violative of the United States Constitution.
Rather than debating unconstitutional legislation on C-SPAN, I would support Congressional hearings to determine who was responsible for the collapse of Freddie Mac and Fannie Mae.
It was recently reported that Sen. Chris Dodd (DEMOCRAT), accepted more than $103,000 in the 2008 election cycle from AIG and that Dear Leader Chairman MAObama (DEMOCRAT) received more than $100,000 from AIG for his presidential campaign. Turbo Tax Tim Geithner, the equally inept Treasury Secretary, was the central figure in the decision to bailout AIG last fall while serving as the president of Federal Reserve Bank of New York.
The dumbocrats fingerprints are all over this debacle. This is exactly what happens when omniscient government bureaucrats intervene in private business. Had AIG been forced into bankruptcy last year, these contracts could have easily been modified by a bankruptcy judge. Watch Sen. Dodd”ge” attempt to explain his ”change” in recollection to Communist News Network reporter, Wolf Blitzer.
After only a month in office, America is undergoing the “change” that Barack Hussein Obama promised on the campaign trail. Yes he can crash the stock market.
Dow Jones Industrial Average
While the chosen one was able to provide Spitball’s Chris Matthews with a furrow going up the liberal’s leg, his presidency has had the opposite effect on the Dow Jones industrial average (“Dow”). On Friday, the Dow tumbled down to its lowest level since October 9, 2002. The blue-chip index lost another 89.68 point or 1.2% and ended the week at 7,465.95. The market has clearly failed to rally behind the socialist policies implemented by the most inept administration since James Earl Carter.
One plausible explanation is President Obama’s selection of Tim Geithner to lead the Treasury Department. Tiny Tim Turbo Tax Cheat Geithner failed to pay $43,000 in taxes and interest before he was audited/caught by the IRS. The International Monetary Fund or IMF, employed Tiny Tim from 2001-2003. As an international organization, the IMF is exempt from paying the employer share of Social Security taxes. They also do not withhold the worker’s share of this tax from their employees. U.S. citizens who are employed at these types of international organizations are required to pay self-employment taxes. While at the IMF, Geithner actually received extra money from his employer to pay his share of the tax. In addition, it was reported that Geithner acknowledged receipt of an employee tax manual, and both quarterly and year-end wage statements from the IMF. Despite all of the preceding information being available, President Obama responded:
I think everybody makes mistakes. Tim owned up to them. And I think I’ve been very clear of the fact that this was a bad mistake. I don’t think it was purposeful, but I think it was a mistake.
Turbo Tax Geithner only “owned up to them” after being audited in 2006 by the IRS. This guy could not figure out what his tax liability is, and Wall Street is supposed to trust him with a $700+billion dollar economic recovery package? Not likely.
“Earmarking is the term used to refer to a provision in legislation that directs funds to be spent on specific projects. Typically, legislators seek to insert earmarks which direct a specified amount of money to a particular organization or project in his/her home state or district. This differs from the appropriation of money to a particular government agency, for in these cases the appropriate executive department can exercise discretion as to where and how the funds are spent. The use of earmarks in the U.S. Congress has expanded significantly over the past thirty years, and is presently the focus of much controversy.”
When the Council for Citizens Against Government Waste (“CCAGW“), released its 2007 Congressional Ratings in August, Joe ‘The Tax Patriot’ Biden received the lowest possible score (0%). After 36 years in Washington, DC, his lifetime score is 22%. Along with Senator Biden, these democrats also registered a 0% score for 2007:
Daniel Akaka (D-Hawaii)
Robert Byrd (D- W.Va.)
Hillary Clinton (D-N.Y.)
Kent Conrad (D- N.D.)
Chris Dodd (D-Conn.)
Byron Dorgan (D-N.D.)
Daniel Inouye (D-Hawaii)
Amy Klobuchar (D-Minn.)
Carl Levin (D-Mich.)
Harry Reid (D-Nev.)
Debbie Stabenow (D-Mich.)
Ron Wyden (D-Ore.)
The Tax Patriot’s running mate, Barack Obama, received a CCAGW 2007 score of 10% and a lifetime score of 18%.
When Jim Johnson, the former Obama advisor resigned from the campaign, he had already secured “more than $5 million in loans from Countrywide that were arranged outside its normal underwriting process.”
Franklin D. Raines was the former Fannie Mae CEO who was removed from his position in 2004 after Security and Exchange Commission (“SEC”) regulators found a multitude of accounting problems at the mortgage company. Raines, a current Obama advisor, also served as the White House budget director under former President Bill Clinton.
The SEC determined Fannie Mae violated various accounting principles which required the mortgage giant to restate their earning for the previous four years. After correcting the books, $6.3 billion of previously reported profits were wiped out. The accounting errors were alleged to be shifting losses so that Senior Executives of Fannie Mae, including Raines, could earn large bonuses. “Raines’ total compensation from 1998 through 2004 was $91.1 million, including some $52.6 million in bonuses.” http://seattletimes.nwsource.com/html/businesstechnology/2004358433_webraines18.html
Raines was in charge in 2001, when Fannie chose to create what the SEC dryly called “its own unique methodology” to calculate the earnings impact of its trillion-dollar portfolio of derivatives. Raines gave Chief Financial Officer J. Timothy Howard free rein and tolerated “weak or nonexistent” financial controls, according to a scathing report issued in September by the Office of Federal Housing Enterprise Oversight, Fannie’s regulator.http://www.businessweek.com/magazine/content/05_02/b3915646.htm
In exchange for a dismissal of all charges, Raines agreed to pay $24.7 million to the Office of Federal Housing Enterprise Oversight. A paltry sum compared to the amount of compensation it has been reported that Raines received.
As talk about taxpayer bailout of Fannie Mae and Freddie Mac begins, reports indicate Senator Barack Obama is the No. 2recipient of their campaign dollars. The “Candidate of Change” collected more than $126,00 in combined contributions from the failing mortgage giants since 2004, the year he first ran for the Senate. In contrast, over the last ten years, Senator McCain received $19,000. Two Obama economic advisors, Franklin Raines and Jim Johnson were both former CEO’s of Fannie Mae. You may recall Jim Johnson, the individual selected to lead the chosen one’s VP search committee, resigned from this position after inquiries were made about preferential treatment he might have received from Countrywide Finanacial Corporation.
The Chicago Daily Observer reported that both Barack Obama and his vice-presidential nominee Joe Biden voted for the “Bridge to Nowhere”. Thus, it has now been confirmed that the democratic duo voted for it before they made speeches against it. Apparently Senator Tom Coburn (R-OK) provided both democrats with a second opportunity to vote against the bridge when he proposed shifting that earmark money towards Katrina relief. I can’t wait for the Obama campaign’s response to this revelation.