Daily Tax Update - February 6, 2012: Payroll Tax Conferees Resume Meeting Tomorrow

PAYROLL TAX CONFEREES RESUME MEETING TOMORROW:  The House and Senate payroll tax conference committee will hold another meeting tomorrow.  The conferees are working against a February 29 deadline, at which time the payroll tax extension, unemployment benefits, and doctor reimbursement rates all expire.

  • In response to remarks by Senate Majority Leader Harry Reid last week that he was preparing a "backup" plan, House Speaker John Boehner said, "It would seem those energies could be better directed toward the conference negotiations themselves, in which Senate Democrats have not actually presented a full plan.  You can’t have a ‘backup plan’ if you haven’t offered anything to back up."
  • House Ways and Means Committee Chairman Dave Camp has called on the conferees to focus on policy before discussing the cost.  The conferees must find more than $160 billion over 10 years to offset the extensions before the end of February.  Rep. Sander Levin said that ultimately "policy will very much be related to pay-fors."  

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