Two Georgia congressmen have proposed a new bill that would give tax credits to consumers who buy kitchen cabinets and home furnishings improvements.
The legislation, called the Home Improvements Revitalize the Economy (HIRE) Act of 2009, would give a $2,000 tax credit for individuals and a $4,000 tax credit for families who purchase items that meet environmental standards such as LEED, NAHB, Green Globes, SFI/FSC and ESP. Retailers, contractors and building product resellers can receive up to a $10,000 tax credit for covered purchases.
The Kitchen Cabinet Manufacturers Association (KCMA) is backing this legislation, along with 13 other associations that represent home furnishings, flooring, paint and coatings, carpets and rugs and other interests.
"This bill would help everyone in our industry -- manufacturing, retail, design and suppliers," said Dick Titus, Executive Vice President of the KCMA. "The costs would be more than offset by increased economic activity and saved jobs. The incentives cease after three years. This definitely is a pump-priming effort of limited duration and near immediate payback."
Con. Henry Johnson (D-GA), who is sponsoring the legislation along with Con. Nathan Deal (R-GA), said the bill would help industries that have been affected by the weak housing market.
"Not only would this help stimulate the manufacturing market for home furnishings and building products, it would save retail jobs, generate billions in revenue and increase home values at the time when we really need a boost,"Johnson said. "By creating this tax deduction, we will offer incentives for consumers who would otherwise forgo spending in 2009 and 2010. We will encourage environmentally sound practices by doubling the benefits for the purchase of building products and home furnishings that meet nationally recognized environmental standards."
A copy of the HIRE Act can be found at www.kcma.org.
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