The Senate stimulus package released this week is a solid improvement over the House/White House compromise plan. The primary reason is that the Senate proposal, tailored by Democratic Senator Max Baucus of Montana, provides low- and moderate-income working families with rebates that are the same size as the rebates going to families at higher income levels. The House package gave low- and moderate-income families smaller rebates than their wealthier counterparts.
Senator Baucus also raised the ceiling on the rebates. Whereas the House plan capped eligibility for the full rebate at $75,000 for individuals and $150,000 for couples, Baucus puts the caps at $150,000 for individuals and $300,000 for couples. The rebates themselves are slightly smaller, however. The House plan gave individuals a maximum of $600 and couples a maximum of $1,200. The Senate rebates max out at $500 and $1,000.
According to the Center on Budget and Policy Priorities: