This week, the House of Representatives passed H.R. 5140, the Recovery Rebates and Economic Stimulus for the American People Act, an important bill designed to help boost the slowing economy. The stimulus package has four components, the most essential of which provides hard working families with tax rebates.

The bill would provide rebates of up to $600 for individual s and up to $1200 for married couple s filing jointly. Eligibility for the rebates would gradually decrease as the taxable income exceeds $75,000 for individuals or $150,000 for married couples. Families who qualify for rebate checks under the bill would receive additional payments of $300 for each child under the age of 17.

After passage of the bill, Congressman Culberson said “Americans are taxed far too much and should be trusted with their hard earned money. The rebates are a step in the right direction and will provide the flexibility consumers need as well as the opportunity to promote savings and investments.”

Not only will families see relief, but small businesses will also benefit from tax breaks for purchasing equipment. The bill provides increases in the amount a business is able to expense on equipment purchased in 2008. These businesses will also receive a depreciation bonus, allowing them to recover 50% of the cost of equipment investments.

Congressman Culberson said, “Small businesses are the heart and soul of the American economy and Congress needs to do everything in their power to let them flourish.”

The Senate is schedule to vote on the measure next week and families should expect to see tax relief by the spring.