House Democrats: We'll Vote on Tax Cut Extensions For All But High Earners
House Majority Leader Steny Hoyer of Md.
/ AP Photo/Manuel Balce CenetaUpdated 6:36 p.m. Eastern Time
A Democratic leadership aide confirmed to CBS News this afternoon that House majority leader Steny Hoyer told Democrats today that a vote will be held during the lame-duck session to extend the Bush-era tax cuts for everyone except families making more than $250,000.
President Obama and many Democrats want to extend the cuts for most Americans, but not those earning more than $250,000 per year. Republicans and some Democrats want the cuts, which expire at the end of the year, extended for all Americans.
The decision by the Democratic leadership to hold a vote on extending the cuts for all but the top two percent of earners does not guarantee that the measure will actually pass. Democrats could bring the bill to the floor in a way that speeds up the process but requires a two-thirds majority for passage, meaning they would have to peel off some Republicans to get it through. (That's what happened with today's failed vote on extending unemployment benefits.) In addition, some House Democrats are siding with Republicans on the matter, which means even a straight majority vote would be no sure thing.
And even if the measure does get through the House, it would need to pass the Senate - which seems like a tall order. Democrats would need to attract Republican support for passing the bill to overcome a Republican filibuster, and there have been few signs that Republicans are willing to break ranks.
In a meeting today, President Obama and Democratic leaders discussed the agenda for the lame-duck session, according to White House press secretary Robert Gibbs. First and foremost on the agenda for Mr. Obama, according to Gibbs, is extending the tax cuts for middle class Americans.
(Other top items: Eliminating the Alternative Minimum Tax for middle class taxpayers; getting the Senate to confirm Jack Lew as Budget director; ratifying the START treaty; repealing "Don't Ask, Don't Tell"; and enacting the Dream Act for undocumented immigrants in the United States.)
As CBS News political analyst John Dickerson writes, the tax cut battle has become a game of chicken. Niether party wants to be held responsible if the tax cuts expire for all Americans because of inaction, resulting in a huge tax increase in the New Year. But they also don't want to blink on what has become a central issue for the base on both the left and right.
UPDATE: Hoyer confirms in a statement:
"The House will vote on an extension of middle class tax cuts before they expire. Democrats are firmly committed to continuing tax cuts for middle class families on income up to $250,000. We cannot afford to add $700 billion to the deficit to benefit the wealthiest Americans with almost no economic benefit as Republicans want to do."
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So if you happen to be fortunate enough to make $260K in income, you get the full cut on the first $250K, and then pay the rate you did during the Clinton years (and less than you would have under Reagan) on the remaining $10K.
Tell me again how that is in any way onerous or kills jobs.
If you read what Hoyer said and how Montopoli reported it, there is a complete disconnect.
AND WE ARE TOO SPOILED TO PERFORM PRODUCTIVE WORK OTHER THAN 'SERVICES'
Our crooked political leaders and most shamefully, our lawmakers who are in bed with Wall St investment banker/financier/parasites, essentially take and don't give fair shares of the 'money-power pie' back to the working people, as they continue to set bad and destructive examples to our younger generations.
America's lawyers in particular, many who are lawmakers, must be cut down to size, as they are largely responsible for converting what is supposed to be our legal/justice system into a game used for their and others' selfish, greedy, personal money and power ends.
In addition, our aforementioned leaders provide safe and clean lives, homes and jobs for themselves and their family members, while sending 'other' - mostly poor and non-white - young people to serve, lose limbs,get maimed, and die in the military, in order that they maintain their rich, luxurious, safe, parasitic lifestyles!
The corruption, selfishness, greed, and inconsideration of others, that is part and parcel of our leaders' lifestyles, must be brought to an end via education and re-socialization...
... or this country and its people have virtually no chance to achieve a safe, fair and just future.
It's long overdue to heavily tax the mostly non-productive, non-contributing WEALTHY, and waive taxation, road, bridge and tunnel tolls for the average working person!
[THIS ARTICLE WILL BE REPEATED UNTIL JUSTICE IS METED OUT TO WALL ST's AND THE CORPORATE WORLD's LEADERS, PRINCIPALS, BROKERS, INVESTMENT BANKERS, AND OTHER FINANCIER/PARASITES, ALONG WITH THEIR LAWYERS, ACCOUNTANTS, AND OTHER OF THEIR THEIR ACTORS AND AGENTS]
They are a current attacking the 4th ammendment and to use it to set presedence to remove our 2nd ammendment rights.
I think the school systems have taken out US History because I am constantly amazed that so many do not understand what is going on and how important our right are.
The top 1 percent now owns more wealth than the bottom 90 percent. Fact.
The Republicans also want to eliminate or significantly reduce the estate tax, which has existed since 1916. Its elimination would add, over 10 years, about $1 trillion to our national debt and all of the benefits would go to the top 0.3 percent. Over 99.7 percent of American families would not gain a nickel.
The Walton family of WalMart would receive an estimated tax break of more than $30 billion by repealing the estate tax.
I know Americans don't excel in Math, and so do the Rich.
I got an idea guns, why don't we tax everyone equally, balance the budget with the current spending levels by taxing everyone enough to cover the spending and then lets see what happens at the voting booth.
The result would be a huge tax increase for the working class that would stifle spending and doom our consumer economy. The rich would get a huge tax cut.
But think about it, this is what the GOP has been doing slowly do for years.
Did you know that the Bush tax cuts of 2001 and 2003 were passed due to the rationale that since we had a budget surplus, people were paying too much.
My dear, we do not have a surplus now... in the legislated Sunset of these cuts.
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I saw John Cornyn on TV, he said the Bush tax cuts haven't helped the economy .... but be careful, my friends -- his comment implied he and the Republicans want to lower the taxes on the top 2% MORE. That is NOT deficit reduction accounting. There isn't enough "discretionary spending" to cover bigger tax cuts.
Be careful what you wished (voted) for... it may just come back and bite your behind.
Take care fellow Americans, think, examine, use wisdom before emotion.
On the contrary, by using the $70 billion per year raised by expiring Bush tax cuts on the wealthy can be used to reauthorize UI benefits and help support the 99ers will put customers back into their stores.
We must realize we are all in this together. With unemployment levels as high as they are today and projected to continue for at least two more years, we can no longer assume the unemployed or the 99ers are misfits who refuse to work or find jobs for themselves. We are but pitiable victims of the callousness of Wall Street, the blatant greed of too-big-to-fail banks, and the pompous incompetence of Congress itself. It is Congress who now holds the fate of jobless millions in their hands. If Republicans now call for cuts before they reauthorize UI benefit extensions, I say, draw up the list so we can carry it forward. Until they do, expiring wealthy class tax cuts is the only dish on the table.
ex animo
batazoid
I think a lot of people miss the point about tax rates and that these cuts affect PERSONAL income, not BUSINESS income.
Yes, some small business owners take profit as income, but the percentage of these that would be affected by raising the rate a statistically small 4.9% (only on INCOME over the $200K/$250K amounts) is something like 2% of ALL small business.
Your business has to have a heckluva lot of sales to have a profit after deductions available for owner pay in the amount of $200/$250K.
I make enough to be affected by the tax increase and it really is not going to change a damn thing I do, spend, save or invest. But, I have always managed my finances well. Ahhh, personal responsibility... such an American attribute, isn't it?
Because it's a lousy idea. Why tax people who can't afford to feed their families at the same rate as billionaires?
Why don't our police, our govt, our law enforcement bodies, our Judiciary, and all of the respective agents therein, protect and help the honest, hard-working people and their property - who do not have much and who need every cent - instead of the crooked, parasitic politicians, and their investment banker financier/parasites who have much, much more than enough money and property?
I got an idea guns, why don't we tax everyone equally, balance the budget with the current spending levels by taxing everyone enough to cover the spending and then lets see what happens at the voting booth.
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If you understand the reasoning behind a graduated tax rate you would also understand that we do tax everyone equally already.
It makes no sense to tax people that can afford food and shelter more, just to turn around and give it back to them. No one has claimed you are the brightest person, but tell me you understand this concept.
The hyperbole (overstatement) alone assures a rational individual to reject such a statement.