One part of the fiscal cliff deal seems within reach, as both sides have agreed to stop a tax increase on the middle class and hike taxes on the wealthy — but the whole deal will not be completed — and therefore eligible for voting — on Monday.
That means time will run out without a complete fiscal cliff deal. But Congress is expected to work retroactively to put in place spending cuts, according to USA TODAY.
As POLITICO reports, Senate Minority Leader Mitch McConnell and Vice President Joe Biden have reached an “agreement to increase marginal income tax rates to 39.6 percent on individual income more than $400,000 and households that earn more than $450,000.”
McConnell has called on the Senate to pass this portion of the fiscal cliff solution, while the other issues are worked through.
“Let’s pass the tax relief portion now, let’s take what’s been agreed to and get moving,” McConnell told his colleagues when he took the Senate floor.
This action will not stop the impending sequestration.
