Political Buzz December 22, 2011: Speaker John Boehner & House Leaders Agree to Senate Payroll Tax Cut Extension — President Obama Pleased at End of “Partisan Stalemate”


By Bonnie K. Goodman

Ms. Goodman is the Editor of History Musings. She has a BA in History & Art History & a Masters in Library and Information Studies from McGill University, and has done graduate work in history at Concordia University. Ms. Goodman has also contributed the overviews, and chronologies in History of American Presidential Elections, 1789-2008, 4th edition, edited by Gil Troy, Fred L. Israel, and Arthur Meier Schlesinger to be published by Facts on File, Inc. in late 2011.


John A. Boehner, the speaker of the House, announced on Thursday that Republicans had reached an agreement on the payroll tax cut.
Philip Scott Andrews/The New York Times

John A. Boehner, the speaker of the House, announced on Thursday that Republicans had reached an agreement on the payroll tax cut.


Deal reached on payroll tax cut extension, sources say: A tentative deal has been reached under which House Republicans would accept the Senate’s two-month extension of the payroll tax cut, Senate sources say.
A conference call of House members is scheduled Thursday evening to finalize the arrangement.

House Republican Leaders Agree to Payroll Tax Deal: Bowing under intense pressure from members of their own party to end the politically damaging impasse over a payroll tax holiday, House Republican leaders on Thursday agreed to accept a temporary extension of the tax cut, beating a a hasty retreat from a showdown that Republicans increasingly saw as a threat to their election opportunities next year.
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…. – NYT, 12-22-11

Statement by Speaker Boehner on Efforts to Enact a Full-Year Extension of Payroll Tax Relief — Washington (Dec 22)
House Speaker John Boehner (R-OH) today issued the following statement:
“Senator Reid and I have reached an agreement that will ensure taxes do not increase for working families on January 1 while ensuring that a complex new reporting burden is not unintentionally imposed on small business job creators. Under the terms of our agreement, a new bill will be approved by the House that reflects the bipartisan agreement in the Senate along with new language that allows job creators to process and withhold payroll taxation under the same accounting structure that is currently in place. The Senate will join the House in immediately appointing conferees, with instructions to reach agreement in the weeks ahead on a full-year payroll tax extension. We will ask the House and Senate to approve this agreement by unanimous consent before Christmas. I thank our Members – particularly those who have remained here in the Capitol with the holidays approaching – for their efforts to enact a full-year extension of the payroll tax cut for working families.”

President Obama: “This is Good News”: For weeks, President Obama has pressed Congress to come to an agreement to extend the payroll tax cut into 2012. This afternoon, that’s exactly what happened.
In a statement, the President praised the good news:

For the past several weeks, I’ve stated consistently that it was critical that Congress not go home without preventing a tax increase on 160 million working Americans. Today, I congratulate members of Congress for ending the partisan stalemate by reaching an agreement that meets that test.
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. Vital unemployment insurance will continue for millions of Americans who are looking for work. 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.
This is good news, just in time for the holidays. This is the right thing to do to strengthen our families, grow our economy, and create new jobs. This is real money that will make a real difference in people’s lives. And I want to thank every American who raised your voice to remind folks in this town what this debate was all about. It was about you. And today, your voices made all the difference.


  • New payroll tax cut: Hard on the rich: The Senate’s revised version of the payroll tax cut prevents a handful of very high wage earners from potentially enjoying a huge windfall from the two-month tax break… – CS Monitor, 12-22-11
  • It’s over! Dueling statements from the speaker and the president: House Speaker John Boehner on Thursday announced an agreement with Senate Democratic leader Harry Reid to extend the payroll tax cut for two months. Afterwards both Speaker Boehner and President Obama released statements. … – CNN, 12-22-11
  • Boehner: House leaders accept Senate tax terms: House Speaker John Boehner says he has reached agreement with the Senate to renew the payroll tax cut before it expires Dec. 31. The Ohio Republican said in a statement Thursday that he expects to pass a new bill by Christmas that … – AP, 12-22-11
  • House could be called back for vote on payroll tax deal: US House Speaker John Boehner on Thursday said he would call the vacationing House of Representatives back into session next week if he fails to get unanimous consent on Friday for a payroll tax cut deal with the Senate. … – Reuters, 12-22-11
  • Congressional Leaders Announce Payroll Tax Cut Deal: Congressional leaders announced Thursday that they’ve struck a deal to ensure the payroll tax rate does not rise at the beginning of next year, potentially ending a stalemate that had put House Speaker John Boehner in a politically uncomfortable … – Fox News
  • Obama welcomes payroll tax deal, congratulates Congress for ending ‘partisan stalemate’: President Barack Obama is welcoming a deal on extending a payroll tax cut and congratulating Congress for ending its “partisan stalemate.” The president issued a statement Thursday evening moments after House Speaker John Boehner announced … – WaPo, 12-22-11
  • Boehner announces deal on payroll tax cut: House Speaker John Boehner on Thursday announced an agreement with Senate Democratic leader Harry Reid to extend the payroll tax cut for two months. The deal amounted to a reversal of the … – CNN, 12-22-11
  • Cornered, House GOP Nears Capitulation on Short-Term Payroll Tax Cut Extension: On the fifth day since rank-and-file Republicans bucked a two-month extension of the payroll tax cut, the House GOP finally seemed to give way under pressure…. – TIME, 12-22-11
  • Lawmakers reach tentative deal on payroll tax cut; House action Friday: Congressional negotiators have reached a tentative deal to extend the payroll tax holiday for two months, with the House set to act on Friday. A subdued House Speaker John Boehner announced the accord … – LAT, 12-22-11McConnell urges House to pass short-term extension of payroll tax cut: Senate Majority Leader Mitch McConnell (R-Ky.) said for the first time Thursday that the GOP- held House should pass a short extension of the payroll tax cut while the Senate appoints negotiators to discuss how to pay for the tax cut for the full year, putting him at odds with House Speaker John A. Boehner (R-Ohio) who has insisted negotiations must take first.
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