–House Speaker: Will Renew ‘Middle Class Tax Cuts’ From 2001 & 2003
–Tax Cuts For Wealthy Worsened Deficit, Didn’t Boost Jobs
–House to Pass Unemployment Insurance Extension Thursday

By John Shaw

WASHINGTON (MNI) – House Speaker Nancy Pelosi said Thursday she
strongly opposes extending the tax cuts that were passed in 2001 and
2003 for “high end” taxpayers.

Speaking at a briefing, Pelosi said the tax cuts passed for the
wealthy in 2001 and 2003 “increased the deficit enormously and have not
created jobs.”

They should not be extended, Pelosi said.

But Congress is poised to renew those tax cuts that are set to
expire at the end of the year for middle income taxpayers, he siad.

She did not precisely define what income level is considered “high
end” but Democrats have often said it applies to those making more than
$250,000.

The Speaker did not say when the tax issue will come before
Congress this year, adding that House scheduling depends on what happens
in the upper chamber.

“We’ll see what happens in the Senate,” she said.

Several weeks ago, House Majority Leader Steny Hoyer said Democrats
want to renew the tax cuts before they sunset at the end of the year.

“The goal is getting them done before they expire,” Hoyer said,
adding that acting House Ways and Means Committee Chairman Sandy Levin
and Senate Finance Committee Chairman Max Baucus have been exploring
options for extending the middle class tax cuts.

On another matter, Pelosi said the House will vote later Thursday
to extend unemployment insurance benefits.

The House will consider the bill that was approved by the Senate
Wednesday which would extend UI benefits through Nov. 30. and make the
extension retrocative to June 2 to cover those benefits expired.

A UI extension, she said, would be an important stimulus for the
economy.

“It’s job creating,” she said. “Money will be spent immediately.”

The Senate passed the bill 59 to 39. If the House approves the bill
it will be sent to President Obama for his signature.

Finally, the Speaker previewed the Democratic strategy for
retaining control of the Congress this fall, saying the midterm election
will be a debate about “moving forward” versus “returning to the failed
economic policies of the Bush administration.”

** Market News International Washington Bureau: (202) 371-2121 **

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