–Senate Majority Whip Durbin: Need Spend Cuts, Tax Hikes To Fix Deficit
–Durbin: Fiscal Cliff is ‘Pushing Us To Some Decision’ On Fiscal Policy
–Sen. Schumer: Sees Senate Vote In July On Tax Cut Alternatives
By John Shaw
WASHINGTON (MNI) – Senate Majority Whip Dick Durbin Thursday said
the looming fiscal cliff will force Congress to make fundamental
decisions soon on the future direction of American fiscal policy.
In comments to a small group of reporters, Durbin said the fiscal
cliff is “pushing us to some decision” on how best to reduce long-term
budget deficits.
The fiscal cliff refers to the convergence of three fiscal events
later this year or early next year: the expiration of Bush era tax cuts,
across-the-board spending cuts, and increasing the statutory debt
ceiling.
Durbin said policymakers “can’t achieve meaningful deficit
reduction” unless they are willing to enact tax reform and entitlement
reform as part of a Grand Bargain on fiscal policy.
Durbin said tax reform is badly needed and must be part of the
deficit reduction effort. He said it takes “irresistible force” to
achieve tax reform and it can only be achieved as part of a broader
fiscal negotiation.
Durbin is the second ranking Senate Democrat.
Sen. Chuck Schumer, the third ranking Senate Democrat, said he
expects the Senate to vote this month on President Obama’s plan to renew
only those Bush-era tax cuts for families making $250,000 or less and a
Republican plan to renew all Bush era tax cuts.
House Speaker John Boehner repeated Thursday that the House will
vote later this month to extend the Bush tax cuts for a year and taunted
House Democrats to offer Obama’s plan for an extension that would apply
to only those making $250,000 or less.
Boehner said a full one-year extension of the tax cuts is an
“appropriate course of action” and would “stop the largest tax increase
in American history.”
** MNI Washington Bureau: (202) 371-2121 **
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