Chalk this one up as a win for the hard-working middle class families. Earlier today, John Boehner, under excruciating pressure from members of his own party, caved and agreed to the payroll tax cut bill the Senate passed last week – a move that would save American families $1000.00 a year.
It was the kind of pressure that could make one appear red in the face!
Under a deal reached between House and Senate leaders — which Speaker John A. Boehner was presenting to the rank and file in an evening conference call — House members would accept the two-month extension of a payroll tax holiday and unemployment benefits approved by the Senate last Saturday, while the Senate would appoint members of a House-Senate conference committee to negotiate legislation to extend both benefits through 2012.
House Republicans — who rejected an almost identical deal on Tuesday on the House floor — caved in under the political rubble that accumulated over the week, much of it from members of their own party, who worried the blockade would do serious damage to the party brand heading into an election year. The new deal makes minor adjustments to make it easier for small businesses with temporary new caps on the wages that are subject to the tax relief.
On news of Boehner’s reversal, President Obama issued a statement, saying “Because of this agreement, every working American will keep his or her tax cut – about $1,000 for the average family. That’s about $40 in every paycheck. And when Congress returns, I urge them to keep working to reach an agreement that will extend this tax cut and unemployment insurance for all of 2012 without drama or delay.”
