Shikha Dalmia in Reason last week:
The Treasury Department yesterday revised its loss estimate for the Government Motors bailout from $14.33 billion to $23.6 billion, thanks to the company’s sinking stock price. GM’s Sept. 30 closing price, on which the new estimate is based, was $20.18, about $13 less than its December IPO price and $35 less than what is needed for taxpayers to break even.I told you.
The $23.6 billion represents a 25 percent loss on the feds $60 billion direct "investment" in GM. But that’s not all that taxpayers are on the hook for. As I explained previously, Uncle Sam’s special GM bankruptcy package allowed the company to write off $45 billion in previous losses going forward. This could work out to as much as $15 billion in tax savings that GM wouldn’t have had had it gone through a normal bankruptcy. Why? Because after bankruptcy, the tax liabilities of companies increase since they have no more losses to write off.
This means that the total hit to taxpayers, who still own about a quarter of the company, could add up to $38.6 billion. That’s even more that the $34 billion on the outside I had predicted in May.
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From a George Will's column titled "Feast on these 2011 turkeys"
A market research firm found that people who buy the $43,000 Chevy Volt (seats four in space not taken by its 400-pound battery) or the $34,500 Nissan Leaf, and who get a $7,500 government bribe (a.k.a. tax credit) for doing so, have average annual incomes of $150,000, and half of the buyers own at least two other vehicles.
http://www.washingtonpost.com/opinions/feast-on-these-2011-turkeys/2011/11/22/gIQAXDqCqN_story.html
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