Open Thread: Do You Support The Tax Cut Compromise?
Tuesday, December 07, 2010
In an agreement announced on Monday, President Obama and Congressional Republicans have struck a deal on extending the Bush-era tax cuts. It also includes new tax breaks and extends many of the tax credits created in the stimulus bill. The details:
- Continues the Bush-era tax rates for two more years for all income levels, including couples earning more than $250,000
- Extends unemployment benefits by 13 months for long-term job seekers
- Revives the estate tax, with a 35 percent rate on inheritances worth more than $5 million for individuals or $10 million for couples
- Reduces the Social Security payroll tax by 2 percentage points during 2011 (for a family earning $50,000, that’s a savings of 1,000 over the year) to replace a tax credit in the stimulus package worth $400 for individuals or $800 for couples
- Extends tax credits in the stimulus bill that were set to expire, including the earned-income tax credit, the child tax credit, and a college tuition tax credit for some families
- Creates new tax write-offs for businesses for some equipment purchases
- Costs $700 billion that will be added to the national debt
Democrats, are you happy with the compromise? Republicans, do you think your party did a good job of securing tax relief? Let us know what you think!