Democrats back the extension of tax cuts benefiting the middle class, as well as protecting them from the alternative minimum tax. They would also like to keep the estate tax from reverting back to pre-2001 levels, when estates worth roughly $1.2 million were slapped with a 55 percent tax.
Most tax lobbyists expect Congress to extend these measure for two years, which some congressional sources say could cost more than $250 billion.
Also, under pay-as-you-go rules, a two-year extension of these provisions does not have to be offset.
Wednesday, June 30, 2010
Tax Gridlock: A Two-Year Solution?
From The Hill's On the Money: