Hummer Tax Break on the Way Out (Maybe)

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It has always been a shining example of silliness that the Hummer and Escalade get a US$25,000 tax break because they are over six thousand pounds and therefore are considered suitable for the farm or construction work. "We're allowing people to buy a huge expensive gas guzzler and get a benefit that was never intended for them," [Rep. Earl] Blumenauer told ABCNEWS.com. So he has proposed legislation to close the loophole.

"The purpose initially was to help farmers but the problems grew in how it was being exploited," said Keith Ashdown, vice president of Taxpayers for Common Sense. "Tax credits are steroids. If you get a $25,000 tax credit for anything, you can get people to listen to Journey again."

Of course, the auto makers and the dealers are opposed. "It's an unwarranted tax increase on small businesses," said Bailey Wood, spokesperson for the National Automobile Dealers Association.

Right. I see so many Escalades on farms and construction sites. ::ABC News

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