The U.S. House is expected to vote today on a plan to extend the payroll tax cut and in doing so, may cut short hopes of heading home soon for the holidays.
Iowa Senator Chuck Grassley says he’s hearing reports the House will reject the legislation which won approval in the Senate over the weekend.
“We thought that after we passed it at noon on Saturday, we would be out until we reconvene in January,” Grassley says. “If the House defeats it and sends us to conference, we may have to go back into session and vote on it once again.”
The tax cut expires in 11 days, and Grassley says if the extension fails in the House, many Americans will feel it in their budgets.
Grassley says, “If it doesn’t pass the House today, there’s a chance the payroll tax holiday of two percentage points, which on an average family, that might be close to $1,000 a year more spending money, they may not have that spending money at least starting on January the first.”
The Senate’s plan would extend the tax cut for two months. Some in the House say that’s not long enough and want a full-year extension.