Daily Tax Update - January 30, 2012: Payroll Tax Conferees To Meet; Hearing This Week On Tax Extenders

PAYROLL TAX CONFEREES TO MEET; HEARING THIS WEEK ON TAX EXTENDERS:  The conferees trying to resolve the payroll tax cut extension will meet again this week.  House Ways and Means Committee Chair Dave Camp has said that the conferees would not add the extenders to the final conference agreement.  In an interview yesterday, House Speaker John Boehner said, "I'm confident that we will be able to resolve [disagreements] fairly quickly."

  • Senate Minority Leader Mitch McConnell concurred that the payroll tax cut extension would pass.  McConnell said, "There's broad agreement on doing the payroll tax holiday through the end of the year.  Republicans [and] Democrats agree on that.  The problem is paying for it."  McConnell added that a surtax on millionaires to pay for the extension continues to be opposed by Republicans.  McConnell said, "That's what made it problematic.  But we'll get it done.  We'll get it done by the end of February."
  • Tomorrow, the Senate Finance Committee will hold a tax reform hearing to discuss finding a long-term solution for the tax provisions that require frequent renewal, commonly called "tax extenders."  The witnesses will also "evaluate tax extenders through the lens of tax reform, evaluating what role tax extenders should play in a reform process aimed at broadening the tax base, lowering rates and making the tax code more fair, efficient and simple."

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