Murkowski Discusses Payroll Tax Cuts
In Washington, the Republican-controlled House rejected the Democrat-led Senate’s proposed two-month extension of payroll tax cuts.
Back in Anchorage Tuesday, Senator Lisa Murkowski said if no agreement is reached before the end of the calendar year, the average American will see a tax increase of around $1,000.
Senator Murkowski said the two-month extension presented to the House is a reasonable compromise and would provide breathing room until a long-term solution is found.
“But it remains uncertain at this point how we will reconcile it, so five days before Christmas I think it’s fair to say that it is yet unsettled,” Murkowski said. “It may be a showdown between the House and Senate; it may be a meltdown – I’m not certain at this point in time.”
Senator Murkowski said Senate Majority Leader Harry Reid does not have plans to call the Senate back.
Murkowski said it was a difficult end to the session, with the House voting 229 to 193 to request negotiations with the Senate on renewing the payroll tax cuts for a year.