Rug Importers Group Backs HIRE Stimulus Bill

Secaucus, NJ, Aug. 17, 2009--The Oriental Rug Importers Association has joined the alliance of 15 other trade associations in the Home Furnishings and Building Products Coalition to support passage of the Home Improvements Revitalize the Economy Act of 2009.

According to Michael Harounian, president of the rug association, “The ORIA has conducted two industry think tank meetings this year, and joining together with the other Trade Associations to further our cause is a direct result of those meetings.” 

The tax credit would be equal to 20 percent of the qualified buildings products and home furnishings expenditures made by the taxpayer, and a tax credit for the purchase of building products and home furnishings for resale equal to 10 percent of the cost paid or incurred by the taxpayer up to a maximum of $10,000.

The rug association believes the legislation would entice reluctant buyers into the market for home improvements.

The American Home Furnishings and Building Products Coalition expects the bill to create or save 352,000 jobs in retail, manufacturing and contractor services; generate $18 billion in after-tax income and boost home valuations by $58 billion to $76 billion. 

The home furnishings and improvements market, which is valued at $375 billion a year, lost $67 billion from 2007-08 and is expected to lose another $74 billion this year. Last year, 273,000 U.S. jobs were lost in this sector and 299,000 jobs are expected to be lost in 2009.