WOTC Renewal and the Fiscal Cliff Update: Business Tax Extenders Not Mentioned in Today’s Republican Counter Proposal
House Republicans, led by speaker John Boehner, have sent a “counter offer” letter to
the President in response to the White House’s budget plan, as proposed by Treasury
Secretary Timothy Geithner. The Republican plan seeks to raise $800 billion in new
tax revenue and to cut $600 billion from federally funded health programs. This differs
from the President’s plan of$400 billion in cuts to entitlement programs, $1.6 trillion
in increased revenue, and stimulus spending of $50 billion. Due to this impasse, it
appears as if congressional efforts to avert the fiscal cliff have fizzled somewhat
and we are now, as Mr. Boehner says, at a “stalemate.”
Perhaps lamenting the current state of congressional affairs, the letter states:
With the fiscal cliff nearing, our priority remains finding a reasonable
solution that can pass both the House and the Senate, and be signed into law in the
next couple of weeks. The best way to do this is by learning from and building on
the bipartisan discussions that have occurred . . .
What appears to be happening is both sides of the aisle, Democrats and Republicans,
are digging their heels in and jockeying for leverage as we get closer to the fiscal
cliff. Notably, a tax extender discussion was not included in Mr. Boehner’s proposal.
Recall that the tax extenders, and indeed WOTC, has strong bi-partisan support as
evidenced by the September introduction of the Family
and Business Tax Cut Certainty Act of 2012 – a bill sponsored by Democratic Senator
Max Baucus, and the Republican freshmen
letter on tax extenders that was published that same month. Additionally H.R.
2082, the Work Opportunity Credit Improvements Act, first introduced in 2011 Republican
Representative Aaron Schock of Illinois continues to grow its list of co-sponsors
which now stands at 29, the latest additional co-sponsor having come on just this
Mr. Boehner’s proposal was also signed by Ways and Means Committee Chairman Dave Camp
(Mich.) Majority Leader Eric Cantor (Va.) Whip Kevin McCarthy (Calif.), and Budget
Committee Chairman Paul Ryan (Wis.) – Mitt Romney’s former vice-presidential running
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