Editors Blog


Skaer-Tactics: HVACR Hope on the Obama Horizon

January 5, 2009
/ Print / Reprints /
ShareMore
/ Text Size+

Just in case you did not hear the obvious, President-elect Barack Obama declared that the national economy was “bad and getting worse” as he began crisis talks this week with congressional leaders on emergency action.

Though Obama did not disclose his entire proposed stimulus package, there is belief that a provision in it would award a one-year tax credit to companies that hire new workers, and would provide other incentives for business investment in new equipment. Details will be revealed soon enough, but the industry is looking for more incentives regarding the purchase of more energy-efficient HVACR systems. This would be a big boost for the industry, that’s for sure.

According to Associated Press reports, Obama's proposal to stimulate the economy includes tax cuts of up to $300 billion, including $500 tax cuts for most workers and $1,000 for couples, as well as more than $100 billion for businesses. The total value of the tax cuts would be significantly higher than had been signaled earlier. New federal spending, also aimed at boosting the tight economy, could push the overall package to the range of $800 billion or so.

According to most reports, the tax cuts for individuals and couples would be similar to the rebate checks sent out last year by the Bush administration and Congress in a bid at that time to boost the slowing economy. A key difference, however, is that the tax cuts this time around may be awarded through withholding less from worker paychecks. That provision would cost about $140-150 billion over two years, according to reports.

For businesses, Obama’s plan would also allow firms incurring losses last year to take a credit against profits dating back five years instead of the two years currently allowed. This is good news for the contractor-owner, right?

It should be interesting to see what unfolds after Obama takes office on Jan. 20. Here’s hoping the HVACR industry is not left in the cold in the new president’s term.

You must login or register in order to post a comment.

Multimedia

Videos

Image Galleries

Mini Split Installation

Twin Cities contractor Aabott Ferraro helped retrofit an older St. Paul home.

Podcasts

NEWSMakers: Doug Dougherty

Doug Dougherty, president and CEO of the Geothermal Exchange Organization (GEO) joins the program to discuss the latest happenings with GEO, including the drive to get included in state and federal definitions of renewable energy, plus the future of geothermal.  Posted on July 25.

More Podcasts

ACHRNEWS

NEWS 07-28-14 cover

2014 July 28

Check out the weekly edition of The NEWS today!

Table Of Contents Subscribe

R-22 PHASEOUT POLL

Some in the industry are calling for the EPA to halt production of R-22 as of 2015. What do you think?
View Results Poll Archive

HVACR INDUSTRY STORE

plumbing-hvac.gif
2014 National Plumbing & HVAC Estimator

Every plumbing and HVAC estimator can use the cost estimates in this practical manual!

More Products

Clear Seas Research

 

Clear Seas ResearchWith access to over one million professionals and more than 60 industry-specific publications, Clear Seas Research offers relevant insights from those who know your industry best. Let us customize a market research solution that exceeds your marketing goals.

DON'T MISS A THING

Magazine image
 
Register today for complete access to ACHRNews.com. Get full access to the latest features, Extra Edition, and more.

STAY CONNECTED

facebook icontwitter iconyoutube iconLinkedIn i con