The U.S. Senate, in an 89-8 vote, passed a fiscal cliff deal Tuesday that would extend current tax rates for the middle class and delay automatic spending cuts, UPI reported. The bill was approved in the early hours of 2013 after 10 minutes of floor debate and no scoring from the Congressional Budget Office, The Hill said. The bill now heads to the House where Speaker John Boehner had said it would be brought to the floor for a vote. The deal hammered out by Vice President Joe Biden and Senate Minority Leader Mitch McConnell would permanently extend tax rates lowered during President George W. Bush's administration on individual income up to $400,000 and family income up to $450,000. The lower Bush-era tax rates for higher incomes would expire and return to the higher rates in effect during President Bill Clinton's administration. It also would permanently set the estate tax rate at 40 percent, an increase from 35 percent, and would exempt inheritances of less than $5 million, The Hill said. It would postpone the automatic spending cuts for two months and offset the delay's $24 billion cost with a combination of spending cuts and new revenues. The measure also would extend unemployment benefits for one year without offsetting their impact on the deficit and prevent a hike in congressional pay. The House Rules Committee already waived the 3-day review requirement, setting the stage for a New Year's Day vote. But The Hill said it was unclear if the House would take up the bill before Thursday, when the 113th Congress will be sworn in.
