Senate rejects million-dollar tax-cut compromise in Saturday session

The Hill--By J. Taylor Rushing - 12/04/10

The Senate on Saturday voted down a proposal to extend the Bush-era tax cuts for middle-income families, falling short of the necessary 60 votes.


Members voted 53-36 for an amendment by Finance Committee Chairman Max Baucus (D-Mont.) that would have extended the cuts for individuals with incomes of up to $200,000 and families with incomes of up to $250,000.

The vote was widely expected, and was followed by a second proposal by Sen. Charles Schumer (D-N.Y.) that would extend the 2001 and 2003 tax cuts permanently for incomes of up to $1 million, among other provisions such as a one-year extension of unemployment benefits and cuts in capital gains, estate and dividend taxes.


The Senate voted down that proposal, too, voting 53-37, seven votes short of the 60-vote threshold necessary to end debate.

Congressional leaders are negotiating with the White House over an alternative tax cut proposal. Majority Leader Harry Reid (D-Nev.) said he is hopeful an agreement could be secured by late next week.