Free Republic
Browse · Search
Topics · Post Article

Skip to comments.

Tax Refunds, Easy Credit Boost Used Car Prices
The Truth About Cars ^ | 3/10/2014 | Cameron Miquelon

Posted on 03/10/2014 8:18:08 AM PDT by nascarnation

A combination of income tax refunds issued in January and February with accessible financing have boosted used-car prices overall in the first two months of 2014.

Automotive News reports prices rose 1.1 percent year to date, and 0.8 percent over the past month, according to the Manheim Used Vehicle Value Index. Meanwhile, the IRS processed 40.4 million returns in the first two months of the year, refunding $125.8 billion to taxpayers at an average of $3,112, which helped in propping up wholesale used vehicle prices.

Easy credit with attractive terms also aided used-vehicle pricing, making the market “more profitable than the underlying unit sale numbers would suggest” according to Manheim.

Overall sales fell 1 percent from the previous year, and 12 percent from January to 2.05 million units, with used compact cars falling the hardest at 3 percent from last year due to heavy supply and competition from newer vehicles. Used truck sales rose 8 percent in the same period due to high demand and low inventories.

TOPICS: Business/Economy; Miscellaneous; Society
KEYWORDS: auto; car; economy; used

1 posted on 03/10/2014 8:18:09 AM PDT by nascarnation
[ Post Reply | Private Reply | View Replies]

To: nascarnation

Nice try, but ‘refunder’ likely aren’t they type of people buying those cars. Call it what it is. EITC, Earned Income TAX CREDIT - imagine the gall of it -earned income, it is money taken from real workers and given to people who can’t make in the world by themselves. Ill-educated, ill-prepared, and content in sponging off others.

They are the ones that buy most of those cars, at least the ones that can pay cash for them, because they get those $5000 checks every year.

2 posted on 03/10/2014 8:23:14 AM PDT by Gaffer (Comprehensive Immigration Reform is just another name for Comprehensive Capitulation)
[ Post Reply | Private Reply | To 1 | View Replies]

To: Gaffer

Amazing how those “fast tax” offices sprout in every vacant storefront in the ‘hood every January. It’s becoming a big deal, over 27 million in 2012, with the regime attempting to issue new rules to add 6 million additional.

3 posted on 03/10/2014 8:27:37 AM PDT by nascarnation (I'm hiring Jack Palladino to investigate Baraq's golf scores.)
[ Post Reply | Private Reply | To 2 | View Replies]

To: Gaffer

The EITC is a “reward” for people who actually do try to do some work. Because of the perverse “trap” nature of gov’t benefits, getting a job can lead to a decrease in “income” without the ETIC.

They get a tax credit for earning part of their income.

4 posted on 03/10/2014 11:58:36 AM PDT by SoothingDave
[ Post Reply | Private Reply | To 2 | View Replies]

To: SoothingDave
It is not a "reward"....the IRS' own page describes it thusly: EITC, Earned Income Tax Credit, is a benefit for working people who have low to moderate income. A tax credit means more money in your pocket. It reduces the amount of tax you owe and may also give you a refund.

It's just another damned unearned benefit. The only difference being you have to have worked at least 'some' for someone else. In theory, one could earn as little as $600 in one quarter (the old requirement for filing and paying taxes on) and get upwards of near $6000 back. There's not one doggone thing "earned" about it. It is nothing but stealing from producers and redistributing it to unproductive people.

5 posted on 03/10/2014 12:12:24 PM PDT by Gaffer (Comprehensive Immigration Reform is just another name for Comprehensive Capitulation)
[ Post Reply | Private Reply | To 4 | View Replies]

To: Gaffer

I think you misunderstand the name. It is not the tax credit that is earned. It is the income that is earned.

If you earn some income, then you get a tax credit.

It’s perverse, but so is welfare. It is an incentive to get people to work. Without it, those who wanted to work would be penalized by loss of other benefits.

Yes, it is a benefit. No argument there.

6 posted on 03/10/2014 12:32:19 PM PDT by SoothingDave
[ Post Reply | Private Reply | To 5 | View Replies]

To: SoothingDave

Thanks for the explanation. Another welfare term that irks me to no end is “entitlements.”

7 posted on 03/10/2014 12:54:51 PM PDT by SamAdams76
[ Post Reply | Private Reply | To 6 | View Replies]

Disclaimer: Opinions posted on Free Republic are those of the individual posters and do not necessarily represent the opinion of Free Republic or its management. All materials posted herein are protected by copyright law and the exemption for fair use of copyrighted works.

Free Republic
Browse · Search
Topics · Post Article

FreeRepublic, LLC, PO BOX 9771, FRESNO, CA 93794 is powered by software copyright 2000-2008 John Robinson