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Approval Of Tax Cut Extensions In Senate Would Put Pressure On House

December 16, 2010 by  

Approval of tax cut extensions in Senate would put pressure on HouseThe Senate is expected to approve the tax cuts package negotiated by President Barack Obama and Republican leaders, which will put pressure on the House of Representatives to pass the legislation before the Bush-era tax breaks expire on Dec. 31.

The bill, which includes a two-year extension for all Americans as well as a 13-month extension on unemployment benefits, cleared a procedural hurdle on Dec. 13, when Senators voted 83-15 to end debate on the measure. An official vote was expected as early as Dec. 14.

Last week, the House Democratic Caucus voted against considering the tax cut compromise. Obama has urged lawmakers to pass the legislation before the lame-duck congressional session ends, otherwise taxes would rise for all Americans.

House Majority Leader Steny Hoyer (D-Md.) predicted that his chamber will ultimately pass the extensions, but perhaps with a few amendments. Some liberals would like to raise the estate tax, which would set the rate at 35 percent for estate values that exceed $5 million. Last year, the House passed a tax bill that set the rate at 45 percent for estate values that exceed $3.5 million.

Some House Republicans are considering proposing amendments that would reduce the amount of Federal spending in order to offset the costs of extended unemployment benefits.

"We're making no tough choices here — none," Representative Jeff Flake (R-Ariz.) told NPR. "I think people are sick and tired of us saying that we'll get around to cutting, and we never do."

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  • tim

    What do you know? One senator gets it. Let’s get rid of the rest of them. Seems like arizona is the only state that actually is trying to fulfill the american dream. Getting rid of illegals and balancing the budget!

  • Norm

    Every body gets a free ride and the deficit continues to skyrocket.
    How’s your austerity program working out Mr. House speaker elect?
    Yes, I’d cry too if I were you.

  • airangel

    Seriously what does extending unemployment do? Does it create jobs? Will they vote to extend it again in 13 months when no jobs have been created? Where is the spending cuts? Where is job creation? Where is Made in America? As far as I’m concerned this is another sickening diversion with no teeth. All the unemployed are tired of looking, becoming in a stupor with no hope….giving them a bone or a life line is no way to empower them to be their best.

    There needs to be stipulations with any Government programs like Unemployment and Welfare that limits time on it and mandates a skills test and employment test to identify each persons abilities and strengths and push them in that direction plus they should be required to do volunteer work one day a week whether it be clean up communities, serve in a soup kitchen, read at hospitals to children, etc….we need more volunteers and our incarcerated, welfare and unemployed could really fill in some gaps!

    • Norm

      Extending tax cuts to multimillionaires also does no good to the economy, other than selling a few more yachts(usually foreign made).
      Somehow these Congressional fools keep taking happy pills and ignoring all reality.

      • airangel

        Norm I’m not so sure about that. They pay a Huge portion of taxes on their employers and on goods and services they buy for their businesses not to mention the Huge Insurance premiums and Unemployment insurance they pay for each employee. I think they do contribute and when you research it and add it up, they actually pay more because they are big and require more employees. I don’t think it’s fair to punish them because many worked and saved and through pure drive and determination made it Big Time…It’s really our Government, the convoluted Tax policies we have.

        Everyone should have the opportunity to prosper and pay their fair share of taxes for roads, police, education, etc but it should be a Flat tax up front based on your income and nothing else. If you only make $500 then you pay $50, if you make $500,000.00 then you pay $50,000.00. Both are 10% of your income. Do away with the Federal Income Tax and all the IRS agents. I also think we need more wellness insurance rather than disease care. If people had prevention care before getting any diseases, our Billions in Health costs would drop substantially…that whole arena is broken down and mandated by Big Pharma and going straight into their pockets. Unions, Big Pharma and the FDA and EPA need reformed and FAST!

        • Dan az

          Thats what ive been saying.I agree 100% and you say it much better thanks.

        • barbara

          You are right on the money, and I hope there are enough other like minded people with brains who can make sure what needs to be done is done.

      • coal miner
        • 45caliber

          And you BELIEVE what you see on huffington post?? Why are you even here on this one??

    • 45caliber

      Even though FDR’s actions extended the Depression (just as Oblama’s are doing now) he at least didn’t pay the people to sit at home. Instead he started the CCC camps that hired the people to work at public jobs that went away when the economy started up again. Oblama simply is paying these people to sit at home and watch tv all day.

  • http://Illinois'17th William

    The Senate’s approval of the tax cut extension is not constitutional. All tax matters and financial matters must originate (that is begin for you Obama voters) in the House. However, I guess it does not matter as we discarded the constitution on November 04, 2008 when the country elected a Kenyan to the People’s House. And the Congress further trashed the constitution in December of 2008 by not doing their constitutionally charged duties and documenting the eligibility of the person elected.

  • http://PersonalLibertyDigest Randy 131

    Let’s just hope the Democrats in the House do as they say for a change. The Bush tax rate extension is important, even though the government’s tax collections may be reduced by $300 billion over the next two years, but not as important as stopping the increase of the deficit by $600 billion over those same next two year’s, because of the Democrat’s policy add-ons. This bill needs to be voted down in the House so next January when me 112th Congress is seated they can re-implement the Bush tax rates without the Democrat,s policy add-ons, in order to stop the $600 billion increase of the deficit. The Senate Republicans also need to stop a $1.1 trillion bill passed in the House which is now coming up for consideration in the Senate which consists of pure pork through the over 6,000 earmark add-ons by the Democrats. Oh the hypocrisy of the Democrats by the denying of the label Ronald Reagan gave them, “The Party of Tax and Spend”.

    • barbara

      Keep talking to the new congressmen…The Democrats will pull every known trick…they think they can get the new guys to fold. And if we don’t keep the roadmaps clear, our guys could just lose track of what they’ve been sent there to do. They need our suport to get this job done. They have a chance to be the best congress since the 1994 Freshman Congress Contrat. Give them everything you’ve got! You have the right stuff.

  • LiarsMustBeDefeated

    The problem is in the SPENDING and not in the taxing. The compromise has a huge amount of SPENDING that overwhelms the taxing provisions. This discussion is a huge distraction and a deception. The majority in congress is out of touch and tragically WRONG.

    • barbara


  • 45caliber

    As far as I’m concerned, this item should be WAY down the list of critical things that need to be done – even though it will save all of us some money.

    They are pushing this in an attempt to make political hay – and are doing it at the cost of giving up more of our freedoms. They need to pay more attention to what we need in government instead of making political points – particularly when they give up even more political points at the same time.

  • Dee

    I just wonder if the people that are getting an unemployment extension will really go out and look for a job or just sit there doing nothing? I feel sorry for the people who have lost their jobs through no fault of their own.

    • barbara

      Barring disability, and I mean REAL disability, YOU DON’T WORK…YOU DON’T EAT.

  • hsr0601

    ** “Trickle-down economics” failed altogether in 2008 with Wall Street bail-out.
    The reps’ Economic Plan = Going Back to Failed Bush Economic Policy
    Republican congressman Mike Pence says Tax cut package won’t help create jobs !

    Back when Bush was pushing his tax cut packages through Congress in 2001 and 2003, supporters said the cuts (which weren’t balanced with spending reductions) would initiate an era in which the American economy would grow so robustly the nation would be running a surplus of more than $5 trillion at the scheduled expiration date. U.S. now is facing a $14 trillion deficit.

    In sharp contrast, Former President Bill Clinton left a record surplus, despite the warning of potential economic disaster over tax increase for the wealthiest.

    ** Investment in Education, Energy, & Infrastructure.

    Let’s be clear. These tax cuts will do little or nothing to stimulate the economy despite the hollow claims of Congressional Republicans and conservative pundits. According to a Moody’s report, making the Bush tax cuts permanent will lead to 30 to 35 cents of economic stimulus for every $1 U.S. give up in federal revenue. That’s a very poor investment. By comparison, revitalizing the nation’s infrastructure or extending unemployment benefits will lead to roughly $1.60 in economic stimulus for each $1 U.S. spend.
    Sanders’ amendment calls for stripping out the tax breaks for the wealthiest 2 percent. That money would have instead been spent on deficit reduction and infrastructure needs.

    These enormous tax cuts have led to record federal deficits, contributed to the government’s current financial woes, and have not helped many Americans who face the greatest financial burdens,” Leahy said,
    “Assurances at the time to the contrary, the Bush tax cuts failed to ‘trickle down’ to help those Americans most in need, while the wealthiest 2 percent of Americans benefited substantially.”

    • barbara

      There should be no such thing as an income tax. When was it ever radified anyway? Whey they shoved that abomination on us, the PROMISED it would never be higher that 2%. It was put into place after the super rich had their “foundations” in place to hide their money in so called charitible foundations. They use it to fund their Socalist agenda, and tax the middle class heavily in order to keep us from becoming competition. We’ve been a nation of slave labor ever since the introduction of the income tax. We the taxpayers are the slave labor or the 20th and now the 21st century. And how come all those polititions leave their political office…if they ever do…as millionaires. Bribe money. If we can’t hang them, as Franklin suggested might happem, at least we need to wake up and get rid of them before there are more takers than givers. Are we there alreacdy?


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