Blog Archive

Blog Archive

Monday, December 13, 2010

postheadericon Key Dem outlines possible path to final deal on taxes

A key Democrat involved in the negotiations over tax cuts outlined on Monday the path to an additional compromise to secure Democratic support.

Rep. Chris Van Hollen (D-Md.) floated a possible change to the estate tax breaks contained in the deal struck between President Obama and Senate Republicans, which Van Hollen said could pass through the House.

Obama announced a deal last week that would extend all expiring tax cuts for two years in exchange for an extension of unemployment benefits and other middle-class tax breaks. Part of that compromise includes a deal that would tax estates at a rate of 35 percent, with the first $5 million exempted.

Democrats in the House cite the estate-tax provision as the most odious in the deal between Obama and Republicans, and Van Hollen said a change to that element could be central to Democrats' dropping their objection to the deal.

"I do think this has become the focus," he said on MSNBC.!

The Maryland Democrat, who's set to become ranking member of the House Budget Committee next year and enjoys close ties to the party leadership, caught flak from liberals for appearing to suggest that House Democrats wouldn't block the deal in its current form from coming to the House floor for a vote.

"As the Democratic Caucus said, this bill in its current form is unacceptable," he said on Monday to clarify his remarks over the weekend.

Van Hollen's compromise would look to split the difference on the tax deal by reviving 2009 estate-tax parameters, which would set a $3.5 million exemption level ($7 million for couples) and a maximum rate of 45 percent.

The Senate will vote Monday afternoon to begin debate on the tax deal, a procedural hurdle the bill is seen as likely to clear. But Van Hollen said changes would need to be made on the estate tax â€" in the Senate or elsewhere â€" before Democrats could embrace the deal in th! e House.

"It's not clear yet what amendments will b! e introd uced yet in the Senate," he said.

0 ความคิดเห็น: