Congress Passes Tax Cuts

Late on Thursday, Congress approved an $801 billion package of tax cuts and $57 billion for extended unemployment benefits, marking the first major deal between President Obama and Congressional Republicans and an accomplishment that will hopefully pave the way for passage of other legislation like the repeal of Don’t Ask Don’t Tell and the DREAM Act.

According to The New York Times, the president plans to sign the package into law on Friday.

The final vote in the House was 277 to 148 after liberal Democrats failed to change an estate-tax provision in the bill that they believe is too generous to wealthy Americans. That said, 139 Democrats ended up voting for the measure while 112 voted against. Many of the Democrats that did vote for the package did so holding their noses and arguing that Republicans had essentially held the middle-class hostage in order to get a generous give away for the wealthy.

The package extends for two years all of the Bush-era tax rates and provides a one-year payroll tax cut for most American workers. That means we’ll revisit the political and policy implications of the deal just in time for the 2012 election.

Related Stories:

Tax Cuts for the Rich Extended

Senate Republicans Filibuster Middle Class Tax Cut Extension

Bush Tax Cut is 800 Luxury Cigars Lit With $100 Bill [VIDEO]

Read more: democrats, obama, politics, republicans, tax cuts

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Michael C.

8:12AM PST on Jan 4, 2011

Patt left a comment on the following article:

"Amazing, wealth is taxed at a LOWER rate than work!!

NOT TRUE!!!!!!!!!!!!!!!!!!!

send a green star

6:48AM PST on Jan 4, 2011

"To Michael C. I thought I was nieve!!!
*************************
Where are the cuts to the bloooooated, incompetent US military? They are sure to save enough to pay for 'boys toys!'"

Bloated? I suspect you are saying that based solely on the number involved. Aside from the airplane that Congress forced them to buy do you have anything to back up your claim?

How about we cut departments that do not accomplish their job, or are actually unnecessary, Like say Dept of Education(which is a failure) or the NEA(unnecessary).
Since '07 the budget of NEA has gone up 29%, while the grants issued are down 14%. That is an effective increase in budget of 43% over four years. Actually seems ineffective, except in growing the NEA!
Now the US military has 737 offices (bases) and 3,614,421 employees. Not even considering the cost of operating the bases(infrastructure) the average per person cost of the military comes to $183,669.80
each. Considerably less than the cost per job of the stimulus plan, $246,436 per job (according to Reuters).

As far as the incompetent comment! You are in no position to judge. Plus it is insulting to those of us that have worn our country's uniform.

6:05AM PST on Jan 4, 2011

"This is just part and parcel of the Republican Hypocracy."

And just what hypocricy is that tom?

Past Member .

6:43PM PST on Dec 26, 2010

and let's get the 2012 elections to roll on in....boy will it be interesting....

Charles T.

9:36AM PST on Dec 25, 2010

Should have been a straight up or down on vote on the leaving tax rates as they were or raising them as the Administration wanted. I don't care what side of the argument you are on, this is why Congress is considered so damned dysfunctional, they haven't the guts to simply vote on an issue that is clear, they have to lard it or smoke it up so they can claim anything come election time.

The only clear thing that came out of this lame argument over tax increase/status quo is that now Dems will have to defend another tax debate in an election year.

David W.

2:32AM PST on Dec 24, 2010

Buffoons like Rumsfeld, Cheney, GW all draft dodgers who never served in our military or had repeatedly gone AWOL or were deserters if they did. These criminals went around espousing war monger and torture policies like lost little boys playing a childish little game ... they just don't get it ... nor do they want to!

It amazes me that GW was a "Pro-Life" murderer in the end and was responsible for the slaughter of over 1 million civilians in Iraq who were mostly women ... babies ... children ... what a brave pro-lifer he is!

How do the American People keep falling for this crap?

It is no wonder the right wing think tanks and their propaganda machine keeps pumping out all of their lies and deceptions and have so little difficulty manipulating everyone so easily!

I have a great idea ... let’s start offering "common sense" and "simple logic" classes in our public schools.

Don't even know if that would work anymore ... Oh Well.

There doesn’t seem to be any form of ethics and morality left in the people running this pathetic exhibition of unbridaled greed ... and certainly NO Real Patriotism or Love For This Nation!

2:25AM PST on Dec 24, 2010

I cannot believe the commentary on this website!

Those claiming that this is not a tax cut and that it is just an extension of the Bush tax cut are really trying to manipulate big time!

These tax cuts should never have happened in the first place and that is the real issue here!

We have welfare for the rich and the corporate interests in this country and that is unbelievably pathetic!

It is amazing to me that people who would never be rich in the first place if it were not for our great nation have no desire to pay back this nation at all.

If our great nation had not provided the amazing opportunities for success and wealth for these families to acquire they would never be where they are today! I would further guess that more likely than not it was their parents that had acquired this wealth because they were not from a spoiled brat generation and knew the meaning of hard work and value!

Those people at the top not wanting to pay their taxes I would bet are the greedy spoiled rotten little brat children of their hard working parents who earned all of that wealth in the first place.

I would not be surprised if these people had never done an honest days work in their entire lives! If they are not grateful to this great nation for all they have today and are not eager to pay back this nation they are little more than traitors and have no idea or understanding of where their wealth has come from or how it was made.

Buffoons like Rumsfeld, Cheney, GW

Kimberly B.

12:58PM PST on Dec 23, 2010

Why don't we just impeach the whole dam gov or over threw them all. They steal from us and I am tired it. Gov only cares for the rich not us they stated it in the new. Those senators should be put in jail.

Patricia S.

4:51PM PST on Dec 21, 2010

Pat Tashjian,
WHAT???????