Reid said the House could ensure that millions of Americans’ tax rates don’t increase at the end of the year when the Bush-era tax rates expire by passing the Middle Class Tax Cut Act, which the Senate passed a few months ago.
Reid applauded some Republicans recently admitting that new revenues need to be on the table in deficit reduction talks, and cited Rep. Tim ScottTim ScottCBS News lands Sanders as WHCA dinner guest Department of labor overtime rule is a roadblock to a bright career path Pop superstar Prince dies in Minnesota home MORE (R-S.C.) saying Wednesday that if BoehnerJohn BoehnerGraham: 'Lucifer may be the only person Trump can beat in a general election' Obama mocks GOP, media and himself in final WHCA dinner address Obama pals around with Boehner in WHCA dinner video MORE brought the Middle Class Tax Cut Act to the floor it would pass in the House.
“Now Republicans are starting to come around to what we’ve been saying all along,” Reid said. “Let’s not raise tax cuts on millions of Americans who make less than $250,000 a year.”
Democrats want tax rates to rise on the wealthiest 2 percent of Americans.
But Senate Minority Leader Mitch McConnellMitch McConnellOvernight Finance: House rejects financial adviser rule; Obama rebukes Sanders on big banks Senators roll out changes to criminal justice bill Sanders is most popular senator, according to constituent poll MORE (R-Ky.) said raising personal income taxes on any Americans would damage job growth by harming small-business owners.
“If more revenue is the price that Democrats want to exact, then we should at least agree to do it in a way that doesn’t cost jobs,” McConnell said. “The smarter way is by capping deductions.”
McConnell said he hopes President Obama presents a deficit-reduction plan that could pass both chambers of Congress. He said Obama should stop using his campaign theme of attacking the rich and lead in the fiscal talks.
“Whacking the rich works politically but the election is over and it’s time to lead,” McConnell said.
Lawmakers are working to avoid the “fiscal cliff” at the end of the year, when the Bush-era tax rates expire and sequestration cuts take effect.