Tuesday marks the income tax filing deadline for 2012 so it seemed somewhat fitting that Monday would be the day Congress took up debate on the so-called “Buffett Rule.”  The proposed legislation is named after Berkshire Hathaway CEO Warren Buffett, a billionaire who pays a smaller percentage in income tax than his secretary.

The wealthy-favoring tax breaks have been the subject of intense debate this election year and it appears the debate will not be going anywhere any time soon.  The issue has divided Democrats and Republicans who put the legislation to a vote Monday.

The legislation would set a minimum tax rate of 30 percent on those making $1 million or more.  It was voted down in the Senate 51-45 with the vote being split down party lines.  One Republican, Maine Senator Susan Collins, voted in favor of the legislation and Arkansas Senator Mark Pryor was the lone Democrat to vote against the provision that has the support of 60 percent of the American public according to polls.

Congressional Republicans are taking the position that the Buffett Rule has no effect on spending, which they say is the real issue.

“By wasting so much time on this political gimmick that even Democrats admit won’t solve our larger problems, it’s shown the president is more interested in misleading people than he is in leading,” Sen. Minority Leader Mitch McConnell said.

 

The White House countered with the following statement: “Continuing to allow some of the wealthiest Americans to use special tax breaks to avoid paying their fair share simply cannot be justified.”

 

The proposal needed 60 votes to move along but Democrats are expected to bring it forth again soon.