Tentative Agreement on a Payroll Tax Reduction

Feb 15th, 2012

payroll-tax-cut

A tentative agreement was reached Tuesday evening from members of a House-Senate committee charged with writing a measure to extend a payroll tax reduction and provide added unemployment benefits, as Republicans and Democrats claiming a degree of political victory in a fight with significant election-year implications.

A day after House Republican leaders said they would offer a bill to extend the $100 billion payroll tax rollback for working Americans without requiring spending cuts to pay for it, the Congressional negotiators came up with a more expanded deal that would also extend unemployment benefits and prevent a large cut in reimbursements to doctors who accept Medicare.

A vote on the measure would most likely take place Friday, when Congress is set to recess for a week. However senior aides warned that negotiators still had to sign off formally on the agreement.

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