Tax Cut Compromise Sails Through Senate

The Senate voted 81 to 19 Wednesday in favor of a tax package forged between the White House and congressional Republicans.

The compromise would provide a two year extension of the Bush era tax cuts for all Americans in exchange for prolonging unemployment benefits for 13 months and a series of tax breaks.

Although the deal passed with considerable support in the Senate, it is facing a battle in the House. Some Democratic members are pursuing an amendment that would apply the estate tax to those who have over $3.5 million as opposed to the Senate version which puts the cap at $5 million.

With the compromise passed in the upper chamber, Senate Democrats will have more leeway to take on other items on the agenda, including the repeal of Don’t Ask, Don’t Tell, the ratification of the START Treaty and the DREAM Act.

All 42 Republicans initially signed a letter pledging to not vote for anything else on the legislative agenda until after the tax cuts were extended.