Boehner Challenges Reid: Demands Year-Long Tax Cut
- Posted on December 19, 2011 at 7:38pm by
Tiffany Gabbay
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WASHINGTON (The Blaze/AP) — The House and Senate barreled toward a collision Monday over some of the chief ingredients of President Barack Obama’s recipe for reviving the economy, with tax increases and jobless benefit cuts awaiting millions of Americans on New Year’s Day if the dispute is not resolved.
Senate Majority Leader Harry Reid said he won’t renegotiate an extension of payroll tax cuts and unemployment coverage unless the House first approves a short-term bipartisan version the Senate has overwhelmingly approved. House Republicans strongly oppose that bill.
Earlier in the day, House Speaker John Boehner, R-Ohio, told reporters that he expects the House to reject the Senate bill Monday evening and then request talks.
“This is a question of whether the House of Representatives will be able to fulfill the basic legislative function of passing an overwhelmingly bipartisan agreement in order to protect the economic security of millions of middle-class Americans,” Reid said in a written statement.
The Senate passed a two-month extension of the tax cut and unemployment benefits on Saturday with overwhelming support from senators of both parties and the backing of Obama. It had been negotiated by Senate Democratic and GOP leaders after they could not agree on how to pay for a more expensive, year-long measure.
After that vote, House Republicans told their leaders that they strongly opposed the Senate bill, complaining it lacked serious spending cuts and was too short. Boehner and other top House Republicans then said they opposed the Senate-approved bill.
Monday morning, Boehner told reporters that the House would reject the Senate-passed bill but said he didn’t think it would be hard for the two sides to bridge their differences.
Unless Congress acts, 160 million workers on Jan. 1 will see a 2-percentage-point increase in the Social Security payroll tax that is deducted from their paychecks and benefits for millions of long-term unemployed people will start to expire.
“It’s time to stop the nonsense. We can resolve these differences and we can do it in a way that provides certainty for job creators and others,” Boehner said at a news conference, although he provided no estimate on how long it might take to produce a compromise.
House Majority Leader Eric Cantor, R-Va., said lawmakers would not let the tax increase kick in, but he did not say how they would resolve the dispute.
“We are going to stay here and do our work until we guarantee that no one faces a tax increase in the year ahead,” Cantor said in a statement.
The leaders’ comments came after a chaotic weekend in which Senate leaders first failed to agree on a full-year bill, then coalesced around the two-month-extension that passed overwhelmingly, only to spark a revolt among GOP conservatives in the House.
The revolt of the rank and file placed Boehner and Republicans in a difficult position, just as it appeared they had outmaneuvered Obama by assuring that the legislation would require him to make a swift decision on construction of a proposed oil pipeline.
Obama had announced he would put off the issue until after the presidential election in 2012 rather than decide the fate of a project that divided usual Democratic allies – environmentalists opposing and several labor unions supporting.
In a television interview shortly before Boehner’s news conference, White House communications director Dan Pfeiffer accused Boehner of reversing his position on the two-month measure because of a “tea party revolt.”
In his statement, Reid said he and Senate Minority Leader Mitch McConnell, R-Ky., had negotiated their compromise “at Speaker Boehner’s request.”
Boehner, R-Ohio, said he had not changed his view on the Senate bill.
“I raised concerns about the two-month process from the moment I heard about it,” he said.
He called on members of the Senate to “put their vacations on hold” and return to forge a compromise.
Obama has said repeatedly that Congress should not quit for the year until the tax cut has been extended, and has said he would postpone a planned Hawaiian vacation until the bill is finished.
In an unusually harsh critique of his own party, moderate GOP Sen. Scott Brown of Massachusetts said House Republicans’ opposition to the two-month extension was “irresponsible and wrong” because it threatened to result in tax increases and jobless benefit cuts.
“We cannot allow rigid partisan ideology and unwillingness to compromise stand in the way of working together,” Brown said in a written statement.
The brinksmanship is a familiar pattern this year between the two parties, who have narrowly averted a federal default and several government shutdowns in past fights.
Extending the payroll tax cut and jobless benefits have been a keystone of Obama‘s and congressional Democrats’ effort to spur a revival of the flaccid economy. Congressional Republican leaders also say they support the idea, but some of their rank-and-file remain reluctant to do so, saying the unemployment coverage is too generous and that cutting the payroll tax does not create jobs.
The Senate bill would cut the payroll tax, extend jobless benefits and avoid cuts in Medicare payments to doctors through February. Both sides say they want to renew all three for a full year, but bargainers have so far failed to agree on how to pay for a package that size, which could cost roughly $200 billion.
The White House’s Pfeiffer said there was still an opportunity for House Republicans to avoid triggering a tax increase and for the chamber to pass the Senate-approved two-month extension.
“You only need a couple dozen Republicans to do it,” Pfeiffer said. “I find it inconceivable that you can’t get a couple dozen Republicans to vote for a tax cut for the middle class.”
Boehner did not specify the changes he would like in the bill, but touted “reasonable reductions in spending” and language blocking some Obama administration anti-pollution rules in a yearlong payroll tax bill the House approved last week. That bill covered its costs by carving savings from federal workers, higher-income Medicare recipients, fees paid to insure mortgages and elsewhere.
McConnell offered support for Boehner Sunday. His spokesman, Donald Stewart, said the best way to “provide certainty for job creators, employees and the long-term unemployed is through regular order” – a term used to describe the normal process of negotiations between the House and Senate.
The Senate bill also includes a provision dear to Republicans that would force Obama to approve a proposed Canada-to-Texas oil pipeline within 60 days unless he declares the project would damage the national interest.
Obama had previously said he would make no decision on the Keystone XL pipeline until 2013, allowing him to wait until after next November’s elections to choose between two Democratic constituencies: unions favoring the project’s thousands of jobs and environmentalists opposed to its potential pollution and massive energy use. Obama initially threatened to kill the payroll tax bill if it included the pipeline language but eventually retreated.
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discus02
Posted on December 27, 2011 at 2:57pmSo don’t build the pipeline because there maybe an environmental disaster.
Report Post »Redmanblackdog
Posted on December 20, 2011 at 3:41pmSmoke and mirrors. Both sides suck! Senate wants to add tax to new mortgages when the housing market is in terrible shape to pay for the payroll tax cut. House wants to pay for it by freezing federal employees pay (Freezing pay saves no money, it is money not spent!).
Its all a dog and pony show. There has not been any substantial cuts in the federal budget. 15 Trillion in debt and climbing. So what shall we do. I know defund Social Security, so we have to borrow more money later to pay for it. And these jokers are playing liers poker with our future. Allen West, had the best idea on Greta last night, and he actually told the truth! Huh, a politician that tells the truth. Allen West should be our nominee for the GOP
Report Post »SgtB
Posted on December 20, 2011 at 11:34amWOW! A whole year of stable tax law!!! That would be an overwhelming improvement!…end sarcasm
We NEED the FairTax and we need it NOW!
Report Post »don young
Posted on December 20, 2011 at 10:44amWhen are you going to learn if you are for the bill reid says no if you are against the bill reid will be for it you can not win.
Report Post »nowhereman
Posted on December 20, 2011 at 12:37amWe cannot afford the payroll tax cut. It cannot be paid for without borrowing or increasing the cost for new homeowners as the latest proposal wants to do. The payroll tax cut should expire. No pain, no gain.
Report Post »marion
Posted on December 20, 2011 at 2:52amI’m still trying to figure out who all these rich people are that get the Bush tax cuts, and how this is such a horrible tax cut to have, then turn around and say this 2 percent reduction in taxes going to the Social Security fund (sic) in stopping it will kill a million jobs (I actually heard the number, a million jobs). Sorry, it sounds like they are intending to get it from you one way or another, their intention to pay for it is to add a less than $20 per month fee to all mortgage loans. HUHHHH?? Again, left hand doesn’t know what the right hand is doing. It still takes away from Socail Security. $19.23 per month is not enough monthly savings that I would be hurt simply paying it. Want to blame the Republicans? Go right ahead, anything to show Progressive ignorance and purposeful deline.
Report Post »Anamah
Posted on December 20, 2011 at 3:06amThey must save the pipeline for America!!! The president must sign it, is good for the country, good for create new jobs, what is wrong with this prez???
Report Post »nowhereman
Posted on December 20, 2011 at 4:14pmAnamah:
Report Post »We don’t need tar sands oil. Oil use in this county has stabilized. We are now a net exporter of gasoline. We now produce more then we use. (yes, the prices are high, go figure). the only “shovel ready jobs” the pipeline offers are the ones involving oil spill cleanups. The crude running though the pipeline to the southern refineries won’t even be going to the U.S. Our environment, essentially our water (aquifers) is more important then oil. We must protect that at all cost.
discus02
Posted on December 19, 2011 at 11:27pmThis is about putting pressure on Obama to ok the pipeline.
Report Post »nowhereman
Posted on December 20, 2011 at 12:50amThe pipeline should not be part of the tax legislation. They are both important and should be debated autonomous of each other. They should live or die on their own.
Report Post »marion
Posted on December 20, 2011 at 12:59amNowhereman, problem with having them separate is he would approve the payroll tax and reduce the amount of money going into Social Security fund, then disapprove the pipeline. He is more interested in destroying this country, bringing it to its knees, redistributing the wealth, and overall making our lives worse than they are just because he thinks he can. Well, for another year, he can.
The problme with the whole bill is what else is in it. If we had a look of it, which we don’t other than highlights, it is more of the usual “Jobs Bill” that is just more handout vice trying to reduce the 15 TRILLION Dollar debt we have.
This would be a small bill of payroll tax cut, offset spending cuts and the oil pipeline, but it is also part of the budget the Democrats have not submitted over the last two and a half years!
Report Post »nowhereman
Posted on December 20, 2011 at 3:56pmThe bottom line we can’t afford either one. One to the tune of $180 billion, the other will turn out to give us environmental headaches far into the future.
Report Post »garbagecanlogic
Posted on December 19, 2011 at 11:26pmAt last, a Republican has grown some ba*ls. Now if he just keeps them.
The U.S. Out Of The U.N.
Report Post »The U.N. Out Of The U.S.
historyforgotten
Posted on December 19, 2011 at 10:27pmWait a Second….
Report Post »Boehner was for it, before he was against it.
Obama originally wanted a full year extention…but McConnel and Boehner didn’t want to pay for the extention…So Boehner and McConnel spoke to Reid about a Two Month Extention.
NOW, he doesn’t even want it to come to a Vote, because Republicans a Democrats would have PASSED the Bill, until a better Bill could be Formed?
He’s Playing Games.
BOTH Sides Play Too Many Games with the Country.
What we need is Term Limits for Congress.
tifosa
Posted on December 19, 2011 at 10:12pmThe REAL question, why won’t the House “leaders” even let it come up for a vote there? ;^)
Report Post »Southernsoul
Posted on December 19, 2011 at 9:58pmWhy is it these clowns can pass hundreds of rules, laws, and regulations, yet they can’t pass a budget, or cut a dime of excessive spending. How much longer do we allow these baffoons run our country before we take it back?
Report Post »stejondeb
Posted on December 20, 2011 at 9:43amit is Obama’s job, by law, to submit a budget every year, Obama, in 3 years has never submitted a budget. You cant vote on something that does not exist.
Report Post »Mateytwo Barreett
Posted on December 19, 2011 at 9:24pmWow! this is interesting, issn’t it. Keeps you right on the edge of your chair- that is if you still hve a chair to be on the edge of. The problem for me is that I’ve seen the actors an read the script- a hundred times before. And y‘all thought rasslin’ was phony! The real action isn’t getting any press- anywhere!
Report Post »booger71
Posted on December 19, 2011 at 9:04pmWhat Boehner needs to do is disqualify it on Constitutional grounds because all spending bill are required to originate in the House.
Report Post »NOBALONEY
Posted on December 19, 2011 at 8:30pmC-Span: Boehner, Cantor , McCarthy, and Hensarling agree to work over the Holidays for a full year extension. Motions to be made.
Report Post »jzs
Posted on December 19, 2011 at 9:08pmThe House has one and only one objection to this bill passed the Senate with overwhelming bipartisan support. The bill gives tax breaks to you and me, the average American, to the tune of $1000 bucks next year, but doesn‘t doesn’t benefit the rich. The TP members in the House got elected by rich people who want some return for their money. If Congressmen were really concerned about the two month limit, they could simply offer to extend the bill for a year. The Senate would agree to that. So that’s blowing smoke, their issue has nothing to do with the fact that it only extends for two month.
So what does the House want? Whatever it is they come out it you can be sure it benefits the richest, such as oil companies who are already making record profits this year.
Republican Americans at some point are going to realize that their representatives aren‘t working in their behalf and don’t really care if they get a tax break. They’re going to make sure that whatever passes favors the rich first, not their constituents, and they‘ll block any tax break you get if that’s what it takes to make sure their benefactors are making at least 10% profit off of their political contributions.
Report Post »whitehat5
Posted on December 19, 2011 at 9:44pmJZS, TP republicans already realize that most of our elected officials are not looking out for our best interest, only the interests of their corporate and labor cronies. That is why the Tea Party exists.
The sooner boobs like you realize that DC politics are corrupted on both sides, the sooner the problems will get fixed. Stop being part of the problem and start thinking of ways to fix things. We can not tax and spend our way to prosperity. We must build our way to prosperity
Report Post »NOBALONEY
Posted on December 19, 2011 at 9:56pmJZS You know nothing about the (TP) Tea Party. I willing to wait and see. We’re dealing with Progressive leadership in both Houses. The 60 day provision about the XL pipeline was put there by Boehner. That showed that he caved on that issue. Are they really going to do this, or is this just a save face move? If so, Washington Crony Political Capitalism rules from the top down!
Report Post »marion
Posted on December 20, 2011 at 2:18amJZS, you are either the most sarcastic individual in the world of politics, or you are just downright stupid. You evidently have never been to another country in your life, so what do you have to compare your views with? Your idea of going poor is going to the opposite side of the railroad tracks, but sorry, that isn’t what real rich/poor is. Is there cronyism, yes, are the politicians out for themselves, sure, but there were a bunch voted out this last time, and more next year, and things will get cleaner.
Not sure if you have ever hear, but nobody has ever gotten a job working for a poor person. Yes, lobbyists, which this president said were going to be banned, but I guess he had that figured out, all the people that got him elected had alteady paid, so he knew what they wanted and didnt’ need lobbyists, but the lobbyists are still there, so that must have been a lie he signed banning them.
What kind of car do you drive? What kind of computer do you have? Do you have a cellphone, and since you are on here, how much is your electricity bill each month? In other words, we all support the rich, oil companies, and oil goods, meaning, CAPITALISM and THE FREE MARKET. Unless you organize and boycott big business to change their way, nothing is going to change, you are just being a good argument for post birth abortion rights. Understand what you are fighting against, but quit being the hypocrite about it.
Bring the rest of the world to our standard, not us to theirs.
Report Post »garyM
Posted on December 19, 2011 at 8:22pmBoehner Challenges Reid: NOT
Boehner hasn’t challenge near enough, he has not stopped the dems from blowing money. If this gets approved it will not go toward SS but in the general where the dems will only blow more money on the fine arts and other bullcrap!
Report Post »garyM
Posted on December 19, 2011 at 8:19pmPsychosis
Posted on December 19, 2011 at 7:48pm
it is obvious the democrats hate seniors why else would they not want to fund social security?????
_______________________________________________________________________________
Clarifying bullcrap:
The GOP would have been pleased to approve the extended tax cuts had it not been for the democrat controlled Senate and House spending 5 trillion dollars in 2009 and 2010. They probably still would agree to extend it if the money wasn’t going back in the general fund for the tax and spend democrats to spend on bullcrap and not the Social security fund as it should!
Report Post »Baddoggy
Posted on December 19, 2011 at 8:16pmWTF? Can you find this in the Constitution? Anyone? This is toatl BS for all parties to be involved in this silly crap. Get back to the Constitution and stop ALL Government giveaways!!
Report Post »Ron Paul 2012!
garyM
Posted on December 19, 2011 at 8:24pmRon Paul is a democrat, he’s on the wrong side of the Isle, he is too wishy washy to really fit any label!
Report Post »Veritas Libertas
Posted on December 19, 2011 at 8:57pmGary, are you saying the RNC is so stupid they’d allow a member of the democrat party to infiltrate for 30 years and actually run for the president? SPT?
Report Post »Baddoggy
Posted on December 19, 2011 at 9:48pmGary…who’s stupid? YOU that’s who. Ron Paul a dem? What mental institution are you typing from?
Report Post »Eliasim
Posted on December 19, 2011 at 8:12pmI know this is off topic, but is this their insurance to guaranty redistribution of wealth if the Global Warming route falls through? Hold the U.S and world hostage?
Report Post »http://www.independent.co.uk/news/science/alarm-as-dutch-lab-creates-highly-contagious-killer-flu-6279474.html
Eliasim
Posted on December 19, 2011 at 8:37pmI mean, look at chemical weapons, they need almost ideal weather conditions to be effective.
Report Post »tifosa
Posted on December 19, 2011 at 8:12pmYeh. We believe the Teapublicons went from objecting to the payroll tax cut for 160M Americans to wanting it for a year. They want it to expire, and appears it will. Only a Fox viewer would buy that. oh yeh…
Report Post »booger71
Posted on December 19, 2011 at 9:07pmIt is not a tax cut. It is a temporary reduced. payroll deduction. The benefits still have to be paid, so actual taxpayers are paying for this out of the General fund
Report Post »tifosa
Posted on December 19, 2011 at 9:54pmYes, I know. The R’s hate employee-side tax cuts, especially if they have ANY stimulative impact on the economy under President Obama. hohum.
Report Post »booger71
Posted on December 20, 2011 at 12:27amLike I said before, cutting payroll deductions are not tax cuts, the money not being paid in has to be made up by dollars created out of thin air.
Report Post »We are Americans
Posted on December 19, 2011 at 8:09pmWhy do they have to attach anti pollution and
Report Post »pipeline crxp to an economic package?
These people really are useless. Last
week it was supposedly a good thing to bix
Obama in on the pipeline. Today. It’s not
important. I’m so confused. But isn’t that
the point?
mildot rider
Posted on December 19, 2011 at 7:57pmStick it the Marxist filth Reid.
Report Post »Snowleopard {gallery of cat folks}
Posted on December 19, 2011 at 7:54pmAnd Reid looked back and said “Gagh…(thud)…” at the thought of actual reducing taxes.
Report Post »tifosa
Posted on December 19, 2011 at 8:21pmReid voted for the tax cut. Boehner and Cantor are announcing right now that they are rejecting it.
Report Post »13th Imam
Posted on December 19, 2011 at 8:36pmDemocrat’s— Tax Cut’s??
Democrat’s — Tax Cut’s,???
The last Democrat that Cut Taxes on his Own, was JFK, and he couldn‘t be a DEMOCRAT in today’s DEMO-Commie Party.
Democrat’s – Tax Cut’s ???
Report Post »tifosa
Posted on December 19, 2011 at 9:20pm13th, Beck still doesn’t let you Google? ;^)
Report Post »TXPilot
Posted on December 19, 2011 at 7:49pmHey Boehner and Reid, can I deduct the cost of my bunker from my taxes next year? After all, you and all your friends in the government are the ones that made it necessary.
Report Post »Eliasim
Posted on December 19, 2011 at 7:48pmAnd yet again it’s an important Bill just before Christmas recess. Go figure! This nation will never have representation and neither be fixed as long as the game board has been rigged to benefit the tyrants in government.
Report Post »Eliasim
Posted on December 19, 2011 at 7:52pmDo you really think that even replaces 3/4 of Congress would change the outcome? It won’t, they would be newbies easily corrupted, and the platform is rigged to benefit the bulldozers.
Report Post »Female
Posted on December 19, 2011 at 8:39pmBall and chains 365 days a year for teason, espin—spying, stupidity, dereliction of duty, betrayal of public trust, …..let’s just let all these Old boys and girls suit up in football gear; bash each others heads in and whatever team wins their form of the bill passes.
Pros=Senate
Minors=house
Refs=judges (which I will alow to take those robes off.)
Guess, it would be potentially fairer, faster, finished for the season (2 mon bill, please, nausea) effective, and at least more entertaining for us to watch. They totally need a spanking!
Report Post »Psychosis
Posted on December 19, 2011 at 7:48pmit is obvious the democrats hate seniors why else would they not want to fund social security?????
Report Post »booger71
Posted on December 19, 2011 at 9:09pmYou got that right.
Report Post »Clara88
Posted on December 19, 2011 at 7:44pmVeterans are supporting a VETERAN….Gov Rick Perry
Report Post »Our military deserves a Commander In Chief they can be PROUD of and RESPECT
GOD BLESS OUR BRAVE MILITARY AND OUR BELOVED BRAVE VETERANS
http://www.rickperry.org/veterans/
AND..he doesn’t golf…he likes guns *SMILE*
GOD BLESS THE 2ND AMENDMENT
smokeyridgerunner
Posted on December 19, 2011 at 8:40pmHe loves *******’s and still wants to pay for their college. I have a home in Texas and the taxes are three times the home in Arizona. Do you think I would vote for more taxes?
Report Post »