After a LONG day that ended around 2 AM on Tuesday, the Senate has overwhelmingly voted to approve a Fiscal Cliff deal, sending legislation for final approval in the House.There was a little nervousness that liberals might not be on board the deal, but the bill passed easily 89-8.
All day, liberal pundits were slamming Obama for caving too early, and not going over the Fiscal Cliff, when it’s presumed he would have more leverage.
The basic gist of the agreement is this: taxes will rise for individuals making $400K or more and families making $450K or more.
These thresholds are higher than Democrats would like, but Democrats are getting an Unemployment Insurance extension, as well as an extension of other credits.
There is also a permanent fix to the Alternative Minimum Tax indexing.
As for the “sequester” that will be delayed for two months.
This part is infuriating conservatives, who see the spending cuts delayed once again, while taxes rise on many Americans (even though the income taxes will stay low for most taxpayers, payroll taxes will rise).
Our full liveblog is below. You can read the full text of the American Taxpayer Relief Act Of 2012 here. Note that the bill is 157 pages long, with all kinds of tax credit extensions you never imagined were part of the Fiscal Cliff. That also makes it infuriating to conservatives, who see a big pork-filled bill passed at 2 AM. Washington at its worst.
As for what the House is going to do, see the possibilities here.
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