Fiscal Cliff Agreement In The Senate
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Photo by Chris Potter; courtesy of Creative Commons
The deal passed from the mostly democratic-built Senate with a majority vote of 89-8, maintaining tax cuts for those earning less than $400,000 and couples that earn less than $450,000. In addition, unemployment insurance would be extended for a year for 2 million people, the alternative minimum tax would be permanently adjusted for inflation, and child care, tuition, and research and development tax credits would also be renewed.
READ MORE: Senate Passes Fiscal Cliff Legislation
According to The Hill, the vote came in after only 10 minutes of formal floor debate and with no official score from the Congressional Budget Office. The Joint Committee on Taxation estimated that the federal revenue would be reduced by nearly $4 trillion over the next decade.
Vice President, Joe Biden is also reported to have played an important role in the debate, striking a deal with Senate Minority Leader Mitch McConnell on Monday.
From The Daily Beast:
“Where Biden really comes in handy, however, is when there is a sale to be made. Whether it’s pitching the president’s financial recovery plan to a skeptical public back in 2009 or the president himself to disillusioned voters this past year, Biden knows how to close the deal—as you might expect from the son of a used-car salesman.”
The two were able to come together and reach an agreement over the phone in a way that Senate members had struggled over a table since the beginning of the fiscal disagreement.
READ MORE: Lawmakers Come To Fiscal Cliff's Edge
The plan is still not entirely over the hill yet, and has to go through the House before a complete agreement can be made.
“The House convenes at noon Tuesday and its next steps are uncertain. Supporters of the compromise hope the big bipartisan vote of approval in the Senate would help propel the measure through the House and onto Mr. Obama's desk for his signature by Wednesday.”
The House Republican Conference plans to meet at 1 p.m. on Tuesday afternoon where the agreement will need to pass once again before being finalized.
Read more of Neon Tommy's fiscal cliff coverage here.
Reach Executive Producer Eric Parra here.
