{"id":6453,"date":"2011-12-06T00:01:53","date_gmt":"2011-12-06T08:01:53","guid":{"rendered":"http:\/\/www.politicsplus.org\/blog\/2011\/12\/06\/payroll-tax-cut-extension-the-next-round\/"},"modified":"2011-12-06T00:01:53","modified_gmt":"2011-12-06T08:01:53","slug":"payroll-tax-cut-extension-the-next-round","status":"publish","type":"post","link":"https:\/\/www.politicsplus.org\/blog\/2011\/12\/06\/payroll-tax-cut-extension-the-next-round\/","title":{"rendered":"Payroll Tax Cut Extension: The Next Round"},"content":{"rendered":"

The conflict between Democrats trying to extend your payroll tax cut and Republicans trying to raise YOUR taxes continues.  Senate Democrats offered a compromise that is better than I expected from Leg Hound Harry Reid.  This will explain the proposal.  In addition here is video of Obama\u2019s address to the nation today and video of Cenk Uygur and Alan Grayson on the subject.<\/font><\/p>\n

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\"bigbrassballs\"A Senate Democratic aide told CNN Monday that Senate Majority Leader Harry Reid will announce a new proposal to extend the payroll tax cut before it expires at the end of the year\u2026<\/p>\n

…Last week, Senate Republicans blocked progress on a Democratic plan that would assess a surtax on income over $1 million<\/strong>.<\/p>\n

The new proposal Reid will unveil Monday still contains a reduced version of that tax provision, the Democratic aide said, but calls for it to expire after 10 years<\/strong>.<\/p>\n

In addition, the Democratic plan still includes cutting the payroll tax paid by workers from the current rate of 4.2% to 3.1%.<\/p>\n

That would mean a family making $50,000 a year would save about $1,500<\/strong>, according to Democrats. If the tax cut is not extended, the rate would go up to 6.2% and cost that same family an additional $1,000 next year, Democrats say.<\/p>\n

However, the new Democratic proposal drops a provision in the measure defeated last week that would also expand the payroll tax cut to employers<\/strong>, according to the Senate Democratic aide.<\/p>\n

Cutting out that provision drops the total cost of the measure to $180 billion from the $265 billion of last week’s proposal, the aide said.<\/p>\n

In addition to the so-called "millionaire’s surtax," the new proposal would be paid for by spending cuts to non-health mandatory programs that were discussed during negotiations by the congressional "super committee" that failed to reach a deficit reduction deal last month, according to the aide.<\/p>\n

Democrats will include a provision from a Senate Republican measure that would prevent millionaires from receiving food stamps and unemployment assistance<\/strong>, the aide said.<\/p>\n

According to the Senate Democratic aide, putting a 10-year "sunset" on the surtax for millionaires was a response to Republican criticism that the original proposal amounted to a permanent tax increase for a temporary economic stimulus plan.<\/p>\n

Sen. Bob Casey, D-Pennsylvania, is the lead sponsor of the Democratic plan to be formally introduced in the Senate Monday, the aide said.<\/p>\n

A top Senate Republican aide, who had not yet seen the proposal, criticized the broad outline because it still includes a tax increase on wealthy "job creators."\u2026 [emphasis added<\/em>]<\/p>\n<\/blockquote>\n

Inserted from <CNN<\/a>><\/p>\n

I fully expect Republicans to block this, because they only want tax cuts for the rich and corporate criminals.  They want to raise YOUR taxes.<\/font><\/p>\n

Here is President Obama\u2019s speech this morning.<\/font><\/p>\n