House Republicans are reportedly close to reaching a compromise on tax extenders with Senate Majority Leader Harry Reid, D-Nev. The deal would make permanent tax breaks for research and mass transit users, and a deduction for state sales taxes. Nearly every other tax break that expired at the end of 2013, including a break for racehorse owners, would be extended retroactively through 2015. The wind production tax credit would be fully extended through 2015 but then get phased out entirely in 2017.

Deficit hawks, such as the Committee for a Responsible Federal Budget, are coming out against the deal, since it would add more than $500 billion to the deficit over the next 10 years when interest costs are included.