Economic Stimulus Package and Dianne

Dear Mr. Rockey:



Thank you for writing regarding the U.S. economy and economic stimulus legislation. Your correspondence is important to me, and I welcome the opportunity to respond.



On February 13, 2008, the President signed the Economic Stimulus Act of 2008 into law. This legislation provides a maximum $600 tax rebate to individuals and $1,200 rebate to couples, including seniors on fixed incomes and disabled veterans. An additional $300 rebate is also provided for each dependent child. Eligibility for these rebates is phased out for individuals with 2007 adjusted gross incomes over $75,000 and couples over $150,000.



The bill also provides tax incentives for small businesses and increases limits on government-backed home loans, so more Californians can buy homes or refinance at lower rates. Specifically, the bill increases the Federal Housing Administration loan limit to $729,750 and temporarily increases the Fannie Mae and Freddie Mac conforming loan limits to $729,750. While, regretfully, the legislation does not include extended unemployment benefits or energy efficiency tax incentives, I am hopeful it will provide targeted relief to struggling American families, while contributing to economic growth.



In order to receive a stimulus rebate, individuals must have a valid Social Security number and file a 2007 tax return. For more detailed information about the stimulus rebate and filing the necessary 2007 tax return, please visit the "Rebate Questions" page accessible from the Internal Revenue Service homepage at http://www.irs.gov.



Again, thank you for writing. If you have any further questions or comments, please do not hesitate to contact my Washington, D.C. office at (202) 224-3841. Best regards.




Sincerely yours,

Dianne Feinstein
United States