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April 22, 2006

Comments

Tom

Why would the 5% be taxable? Is it not a rebate? If it is taxable, why wouldn't an inkind rebate (such as a gift card) be taxable?

Virginia Postrel

Twelve gallons of gas a week! No wonder you have to find ways to save money.

Mycroft replies, "Do you really think 12 gallons per week is a lot? Texas consumed 30.9 million gallons per day in 2002, which translates to about 9.6 gallons per person per week -- and some of those are kids, or others who don't drive at all!"

Randal O'Toole

Citibank just cancelled my 5% cash-back (on groceries & gas) card saying they no longer wanted to offer this service. I guess I'll apply for the Chase card and hope they don't cancel too.

Mycroft replies:
I think they're phasing out the cash-back card (called "Dividend") in favor of the rewards-points card (called "Diamond Preferred Rewards"). If you're willing to take Target, Exxon, or Amazon gift cards in lieu of cash, it's 100% as good; if not, you can get a statement credit at about a 30% premium.

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