Billions in Special Tax Refunds Will Be Paid to J.P Morgan and Other Wall Street Firms for 2009

Are you set to get a phat tax refund? Did you cut corners when you filed your federal income taxes? Do you owe money to the IRS? If your balance sheet looks better this year, you're one of the lucky ones.

Also lucky are those Wall Street firms like J.P Morgan who are taking advantage of an adjunction to the $787 billion dollar Obama stimulus plan. This information was obtained by the Wall Street Journal in examining public filing documents and was also reported on CNBC's business news channel. Most of the mainstream news sources will put the story at the bottom of the screen in the "crawl" and never mention it because they don't quite get it. If they did get it, they'd have to tell you that it's just one more way that taxpayers are getting ripped off, one more way that the Obama team came up with to distribute money to Wall Street firms while throwing crumbs to the out of work folks on Main Street.

According to the Wall Street Journal, the price tag for the 250 firms which are getting unusually high tax refunds is a crummy $12 billion, but some people say it could get as high as $33 billion. That's chump change too, when you consider that Medicare cutbacks amount to $500 billion. But you won't think it's "crummy" and you won't think it's "chump" change when you get the tax bill or when your unemployment checks finally do stop.

As part of the Obama stimulus, the Obama economic team defied the Congressional Budget Office in allowing companies like J.P Morgan and others to write off losses for the previous five years rather than the usual two years. The special deal was not in the original stimulus-it was hidden into another bill passed in November 2009 to extend unemployment benefits. J.P Morgan was one of the firms which received funds under the T.A.R.P and was supposed to be precluded from the billion dollar tax refunds, but through the Obama magic of lobbyists, smug smiles, and economic sleight-of-hand, another billion dollar pool of taxpayer money is squandered.

Democrats are accusing Republicans of dirty pool right now as they are forced to vote on giving erectile dysfunction pills to sex offenders under the just passed health care bill. But the same tactics were used against Republicans who couldn't get the new additional Wall Street bailout through which will give J. P Morgan an additional $2.6 billion for their income tax refund. In short, the Congress had to vote for additional bailouts for Wall Street and their ubiquitous lobbyists, while you get your unemployment benefits extended. Don't whine about it-buck up, son! It's dope and chains.

Of course, the spokespersons for the Obama team will characterize the special deal as a "stimulus" even though the CBO says that there would be only 40 percent of stimulus for 100 percent of $33 billion. Of six additional theoretical stimulus packages looked at by the administration, this bailout was ranked last in terms of stimulating the economy. Naturally,that would be interpreted as a great selling point to the Obama administration which seems to favor forcing through unpopular initiatives like its one-party health care bill.

Most of the cash will be used to pay down debt or store up cash reserves, so little of it will go into jobs stimulus. Another beneficiary of the special 5 year tax break, Oil and Gas company Apache, announced that it will put its $200 million tax refund into exploration, which could keep some people working if the Obama Interior Department permits them to drill.

The Obama administration is placing all its bets on the premise that the American people are too stupid to understand the economy, too stressed by recessionary pressures, or too bored with the avalanche of financial data to care. Given the amount of resistance to the financial dodges and dishonesty employed to pass ObamaCare, I don't believe that. Independents, Republicans, and many Democrats believe that real and needed reform to health care has not been achieved in the economy and health care destroying scam that was signed yesterday. They know where the money is going, too.

Source: http://online.wsj.com/article/SB10001424052748704896104575139830746680218.html?mod=WSJ_hpp_LEFTWhatsNewsCollection&mg=com-wsj