Congress Approves $330 Billion in Tax Cuts

Congress gave its final approval on Friday to $330 billion in new tax cuts and $20 billion in aid for states. President Bush said he planned to sign the bill, news services reported.

To promote investment, small businesses including trucking can recoup some of their new equipment investments immediately, and can expense up to $100,000 until 2005, four times the amount now allowed. Other companies can write off half their investments this year, the Associated Press reported.

he Republican-led Senate approved the measure by a 51-50 roll call, with Vice President Dick Cheney casting the decisive vote. The GOP-run House voted 231-200 in favor of the measure.

Though less than half the $726 billion in tax reductions through 2013 Bush initially proposed, the bill included most of the elements he proposed into the final package.

It offered breaks to most families, married couples, most workers, people who sell property, businesses and corporate stockholders who receive dividends.

Of the bill's $350 billion price tag, $210 billion — or 60% — would occur this year and next. The GOP authors said that would help rev up the economy by flushing money into it, according to Reuters.