Endgame on Payroll Tax

Last week, the House of Representatives passed a one-year extension of the payroll tax cut, ensuring taxes did not increase on hard working Americans.  The Middle Class Tax Relief and Job Creation Act also extended the “doc fix,” extended and reformed unemployment insurance, expedited a decision on the Keystone XL pipeline, and increased the mortgage guarantee fee for Fannie Mae and Freddie Mac.  The bill was not perfect, but it was worthy of conservative consideration.

Unfortunately, on Saturday, the Senate passed a simple two-month extension and once again demonstrated it was not committed to doing the real work required of Congress.  Rather than stay in town to work towards an agreement on a full-year extension that included some important reforms, Senators chose to head home until January 23, 2012.

This morning, House Speaker John Boehner (R-OH) predicted the House would reject the Senate’s stopgap measure and instead reaffirm their position that a full-year extension is the only acceptable outcome.  He said it was “time for Congress to do its work” and there should be “no more kicking the can down the road.”  On this, Heritage Action agrees.

More importantly, for much of the year, conservatives have said House Republicans should not negotiate with themselves; instead, they should wait until the Senate puts an offer on the table.  Finally, after nearly 12 months, the Senate has put an offer on the table.

But an offer is just that – an offer.  The House is not bound to accept it, nor should they; after all, we have two chambers of Congress for a reason.  Speaker Boehner reminded President Obama and obstinate Senators of that this morning:

When there’s a disagreement between the two chambers, we sit down in a conference and resolve those differences, and that’s exactly what I believe the House will do.

Whether through a conference committee, public debate or an open floor process, the Senate should come back and hash out the differences between their two-month extension and the full-year extension passed by the House.  Senate Republicans are willing to return, but Senate Democrats remain obstinate.

House of Representatives must continue to stand its ground, and push for solid conservative policies that will move things to the right.


Please Share Your Thoughts

51 thoughts on “Endgame on Payroll Tax

    • Unfortunately they are also “out of touch” which multiplies the the damage they unknowingly inflict. A two month extension of the payroll tax cut? That will cost more in implementation than it will save. The only effect will be increased costs/confusion to businesses and decreased revenue to pay for Social Security. Pathetic.

    • I would like to see changes made to the way the House and the Senate decide what bills are passed. The passing of bills should not be left up to either houses of congress, it should be the voters decision. I know this will never happen, but it’s a start to the undoing of the favoritism and corruption that goes on in both houses.

  1. These supposed to be leaders are acting like 4 year old kids. If you don’t do it my way, I’ll just take my toys and go home.

  2. This is the strongest argument/message Heritage can issue to its supporters? How did the “crap sandwich” all of a sudden become “solid conservative policies”? Y’all need to toughen up over there and work a little harder. You should have at least shared the letter to Congress from the NPRC.

  3. The primary point of objection is completely valid and not just for businesses but households as well. When the congress revises the tax code it should have a minimum 2 year lead-time so people can plan, and a minimum 2 year life span, so people learning the code have some semblance of continuity and ability to adjust.
    Still the whole idea of raiding the Social Security funding mechanism is flawed! We are all aware that in 16 years the fund goes negative–yet instead of reform to prolong that outcome we are hastening it with reduced funding. It doesn’t make sense–except that it was the only way to give more money to the 50% who aren’t paying any Federal Income taxes already. All politics!!

    • Exactly. They ALL need to be replaced with the people of America who want to live by the Constitution and God and who will keep it that way because we LIVE it everyday. They are all over paid and are only trying to keep their fat, tax-free paychecks, free insurance, high living, special interests, and lobbyists. They all should be fired for not doing their jobs they were hired for, the same as anyone else, and charged and prosecuted for the criminal acts on the citizens and for the parts they all play in allowing the endangerment to come to America.

      • Katrin,
        You are absolutely correct! If our “lawmakers” don’t stop changing things regarding to taxation on a daily basis, our businesses will NEVER start hiring agin! The uncertainty is ruining any chance of planning ahead and consequently every business owner in the country is just waiting to see some kind of certainty for the future. It’s not there now!
        Alan Fitzgerald

      • I disagree entirely, most of those who comment keep saying fire them all. This is rediculous. The Congress is entirely out of control so thaere is where we have to start replacing those unrealistic leftist democrats and replace them with people who truly have the public in mind. The House controls the purce strings so they aught to hold up the money to pay the Congress untill they return and do their jobs. Things like passing or rejecting bill that are submitted to them, instead of a dictatorial Whorehouse Harry Ried deciding to shelve them and not even bring them up for a vote. It’s surprising what a few weeks without any income will do to people.

  4. I am disgusted with the Tea Party! Unemployment is still a huge problem & will grow after the holidays, Cutting Unemployment benefits will result in a huge influx of people onto the welfare rolls. You would only be shifting from unemployment benefits to Social Services. Extend for a full year with NO cuts except to those who are millionaires who don’t need it anyway and have other assets to see them through unlike the middle class who already have used up all savings, retirement accounts etc JUST TO SURVIVE!
    Payroll tax cuts are necessary for a full year. Why are you protecting the so called “job creators”? Where have they been during all of this? Creating jobs? NO. They have been either sitting on their ability to create jobs or they have shifted their production to foreign countries. Tea Party is showing America what GREED looks like. Not one single wealthy person got wealthy without someone else either as customers or clients or investors. Their taxes should be raised if they are not creating jobs and doing what they say they are!

    • Sounds like you are on the government take, just like the rest of the liberal bums! I’ve never gotten a job from a poor person.

  5. It is all about getting re-elected. You certainly wouldn’t want to do anything to irritate your constituency…..you might not get elected again. That is ALL it is about. Harry Reid and his liberal and irrational followers along with many Republicans don’t give a damn about you and me. It’s all about the next election. As I have said for many years, NO INCUMBENTS! Vote the bums out. No more lavish health benefits, no more lifetime pensions for these people. Get rid of them all. They can’t seem to do what is right for Americans. If we don’t do something soon, we’re going to have nothing but a society of entitlement folks, who want nothing more than another government handout. We’re almost there now, with over 47% of Americans on the government take. CUT SPENDING, BALANCE THE BUDGET, AND KICK THE BUMS OUT. Easy as 1-2-3!

  6. I cringe every time I hear the word bipartisan – it should be NONPARTISAN since the fate of our country is at stake. We are becoming financial slaves of the Arabs and Chinese. Will one of the candidates please challenge Barack Obama’s eligibility to run in 2012? Wi’ll one of the candidates please run on a platform of abolishing the IRS and converting them to fraud detectives, and initiating the fair tax?

  7. I am disgusted with the Tea Party. Why?
    Why aren’t you disgusted with the Democrat senate? There is 25 bills waiting to be voted on that could start helping to get jobs moving. How about the pipe line, thousand of job on the line and the Democrats refuse to vote on it. The Democrats refuse to come back and do the job we elected them to do. So what does the tea party have to do with this mess in congress that the Democrats refuse to address?

  8. This whole thing is getting ridiculous, George Washington was right, the two party system IS ruining this Country. These people need to be put back on a part time basis. Bringing a brown bag lunch wouldn’t hurt either.
    Congress needs to put US first!

  9. No maybe about it and it’s long overdue.Starting with Obama and everyone who hasn’t stood to do their jobs, and who has lost their spine and integrity. Clean the entire house, congress and senate, activist judges. NO special interests, wealthy backers who pay for behind the scenes power and control, big government, lavish living on taxpayers pockets, and especially to those who come here and are clearly radical and anti-American, anti-God, and anti-Constitution. NO kow-towing to the whimpy whining that certain people are being ‘hated’ or discriminated against. Others simply do not agree with them and yet are free to live their lives and faith without trying to take away from others nor force theirs into others lives. Gays do not have the right to force their lifestyle into every aspect of the lives of the rest of us and into our elementary schools as well as restrooms. All immigrants who want a better life come here to become a part of, and add to, America, while at the same time are free to live their own ethnicity, values, and faith. Illegals come here to vandalize, murder, threaten, live off our system of free housing, utilities, medical, schooling and lunches, want to have our government give the same to their next several generations of relatives, IF they fly our flag it’s upside down and beneath theirs, then try to have our courts force us to take our flag down when we fly it on our own soil because it offends them. Or the muslims who clearly are anti-American, and want our spineless government to instill sharia laws over ours, and sharia law does NOT allow any other religion or way of life, and now want us to take our crosses down in our churches because it offends them. I, for one, will never stand down to any of it.

  10. Governance as we have known it for 230+ years in this country has been fundamentally changed by the last few occupants of the House, Senate, and President. Almost all seem to be more interested in self-servicing than self-sacrificing, more in tune with their own jobs than the jobs of we, the people.

    There is but one way to correct this kind of corruption, this kind of sickness, this move from a constitutional republic to socialism, and even fascism…it is to clean house in all three branches…clean out the Progressives (aka socialists, communists, and fascists) and replace them with competent, capable, serious, responsible, God fearing, constitution loving representatives and judges.

    But first we must accept that we really really no longer must look for Representatives of the majority of Americans who have become lovers of big government (and all it promises to “give” to them!) Rather we need representatives that will once more represent all that is/was great about AMERICAN EXECPTIONALISM which is now and has always been the antithesis of Progressivism. The questions of today are not which of the current crop of candidates deserve our votes, but do we as a people deserve yet one more chance to be great again!

    Has our arrogance gone so far, as citizens and as Christians…as to have resulted in God turning his face away from our nation, just as in Sodom and Gomorrah when the angel of God could not find enough good God-fearing people to save the cities? Are we willing to humble ourselves and acknowledge that His laws are just, and His commandments deserve our allegiance above man’s laws? It is a time of choosing in America. It is a time to decide if we love our nation, and our God enough to once more obey both the teachings of the bible and the US constitution? Who we elect must represent these decisions…THEN the choosing should be much easier…

    Psalm 127:1b
    Unless the Lord watches over the city,
    the watchman stays awake in vain.
    2 Chronicles 7:14
    IF My people, who are called by My name,
    shall humble themselves
    and pray,
    and seek My face
    and turn from their wicked ways,
    THEN will I hear from heaven,
    and will forgive their sin
    and will heal their land.

    2 Timothy 3:1- 9
    But understand this,
    that is the last days there will come times of difficulty.
    For people will be lovers of self, lovers of money, proud,
    arrogant, abusive, disobedient to their parents, ungrateful,
    unholy, heartless, unappeasable, slanderous, without self-control,
    brutal, not loving god, treacherous, reckless, swollen with conceit,
    lovers of pleasure rather than lovers of God,
    having the appearance of godliness but denying its power.

    Avoid such people. For among them are those who
    creep into households and capture weak women,
    burdened with sins and led astray by various passions,
    always learning and never able to arrive at a
    knowledge of the truth.

    Just as Jannes and Jambres opposed Moses,
    so these men also oppose the truth, men corrupted
    in mind and disqualified regarding the faith.
    But they will not get very far,
    for their folly with be plain to all,
    as was that of those two men.

    Matt. 25:30
    And throw that worthless servant outside, into the
    darkness, where there will be weeping and gnashing of teeth.’

    Proverbs 22:6 KJV
    Train up a child in the way he should go:
    and when he is old, he will not depart from it.

    Deuteronomy 16:19
    You shall not pervert justice.
    You shall not show partiality,
    and you shall not accept a bribe,
    for a bribe blinds the eyes of the wise
    and subverts the cause of the righteous.
    Deuteronomy 4:5-9 –
    See, I have taught you statutes and rules,
    as the Lord my God commanded me,
    that you should do them in the land that you are entering
    to take possession of it.

    Keep them and do them,
    for that will be your wisdom and your understanding
    in the sight of the peoples,
    who, when they hear all these statutes will say,
    ‘Surely this great nation is a wise and understanding people’

    For what great nation is there that has
    a god so near to it as the Lord our God is to us,
    whenever we call upon him?

    And what great nation is there, that has statutes and rules
    so righteous as all this law that I set before you today?
    Only take care, and keep your soul diligently,
    lest you forget the things that your eyes have seen,
    and lest they depart from your heart all the days of your life.
    Make them known to your children and your children’s children.

  11. As you can see by comments we are all fed up with this no action malfunction. We the people speak and say “do it or find another job”! Too many of us are out of work, to many of us are paying your wages and benefits and for what? Smoke and mirrors, did you not read the side of the package. It is bad for your health. Double deals stop and stall may work inside the beltway but the providers are on to the game now. We need private sector jobs not public sector rhetoric.

  12. Katrin Kuriger has hit the nail on the head: Congress needs to be flushed! Here’s my question? Who is responsible to do this? Yes, who, really, is responsible for bringing this to pass? President Lincoln said, “…government of the people, by the people, for the people, shall not perish from the earth…” This key idea is not often mentioned in public discourse, but it needs to be. We must realize the buck stops here — with the people. WE must do the doing. Do you think congress, for instance, is going to “heal” itself? Forget it. They can’t; and they won’t. There is an I, I, I, and Me, Me, Me congressional mindset firmly in place and it’s only going to change if the citizenry forces it. Here’s my drastic, but needful plan: Immediately reduce senatorial terms to 4 years; next limit house and senate members to ONE term. After that ONE term they get thanked for their service and can go home to their real job. Included in the plan is a GREAT REDUCTION in pay and benefits. This is a service to the United States, NOT “I am going to get rich and powerful”. Spread the plan.

  13. We need to get a bill in process to Term limitation of 2 terms only. We need to vote out (get rid of Harry Reid and all the democrats in the Senate and the Congress) and put people who will work with opposite sides of things to get Washington working again.

    Amjericans need to band together to get this job done and do whatever it takes to help get that job done for AMERICA.

    The Government needs to stand behind ALL it’s people, by watching out for all Americans, then All Americans will stand behind our Government. Stop giving away OUR AMERICA as we know it was.

  14. Do not think for one second ALL Republicans are on our side!!! IF you listened to the news the “compromise” was voted on by many Republicans that brought this to bare! IT’s like getting stabbed in the back, you think the party supposed to be conservative is constantly involved in a compromise to spend more !

  15. To All Democrat Members of the House of Representatives:

    After watching the December 13 vote on the extension of the payroll tax holiday, the extension (yet again) of the unemployment benefit payments, and the approval of the Keystone Pipeline, it is painfully obvious to“Main Street America” that the Democrats who voted against passage have sunk to all new low in moral depravity.

    Forget for a moment the fact that a very large percentage of citizens oppose the tax holiday on its face because of the huge hole it will continue to blow into the Social Security Trust Fund; the same SSTF that is already bankrupt despite the contrary pronouncements repeatedly droned on by the Administration and the Democrats in both chambers. Most moderate and conservative Americans have reluctantly already accepted the fact that the payroll tax and unemployment extensions will be passed. Just as the Administration promised, in fact threatened, that they would.

    Why then did 187 House Dems vote “NO” on the bill, and why will Harry Reid ensure that the House Bill will die in the Senate? While politically incorrect, the answer to that question is that they are traitors to the American People. Painfully obvious now, as if their prior actions didn’t confirm it, is that fact that these representatives do NOT represent their constituents. No sir, their role in a practical sense is to do whatever is necessary to ensure the re-election of Barack Obama, themselves, and the other left leaning members of the Congress.


  17. Make them all come back on Christmas eve. This game must be driving the nation’s payroll software engineers nuts! To withhold or not to withhold today, tomorrow, next week or next month? Maybe just stop the paychecks until the amount for each is known?

  18. If the Republican Senators have and b%%ls at all they should come back and conference with the House, let the Demorats be AWOL they are nonessential any way.

  19. Is there anyone out there that can advise the American people just how they can handle this situation on their own, without the help of a dead government?? Stop bitching and give us some answers. Need us to “march”, or just sit on our a’s and wait for the stuff to hit the fan?? Come on guys, someone has got to have the answer…..is it in the Constitution?? I can’t seem to find it anywhere….we can disagree with decisions, but doesn’t say what to do realistically. Help!!

  20. This is a fatal game these politicians are playing with our Countries life at stake .. what can we do ..vote the corrupt crew out .. we need more new blood in the place to make the changes we need .. like cut spending .. less government intervention in our business ..Control our borders ..Balance the budget and quit borrowing .. government needs to live within it’s means and quit taxing “We the People” to death to satisfiy their overindulgence ..

  21. I’m a Republican, but both parties are being stubborn. The GOP promises tax cuts and less spending, but doesn’t always deliver. The Democrats just look to spend, spend, spend and create more government dependence. Plus they won’t touch the issue of immigration. God no, we can’t offend the Hispanic lobby, even though that group is being hurt more by the illegal immigration mess. So ultimately who suffers – the middle class, working class taxpayer and veterans.

  22. I guess I am to simple minded to understand the senator’s mindset because I cannot for the life of me understand how 100 supposedly intelligent men and women can do absolutely nothing right, especially in such a critical time of our country (out of control spending and crazy deficit) only an idiot would put our great country in such a state of peril. We need and indeed must clean house. Replace congress and the white house with some common sense people.

  23. I am so done with this administration we have. They just don’t get it. You cannot keep going down this road we are on and expect for everything to just fix itself. People have to understand there is going to be alot of pain and sacrifice by everyone to get out of this mess. The tax code needs to be simplified and all social programs need to be cut across the board. This will not be done with the current administration in office. I hope all that vote in 2012 educate themselves and vote responsibly.

  24. I believe we are past the point of curing congress with a mere vote. We need to face the fact that we the American people are under attack and need to rise up and reconstruct congress, the WhiteHouse and State/Local governments. I am not suggesting the “R” word but a complete SPRING cleaning in the middle of WINTER.

  25. I am sick of Harry Reed crying the Republiccans wont do this and the Republications wont do that. The Republican House has sent dozen of biills to Him, Senate. He is sittings on the Bills and tells us again, the Republicans wont do it. Why does a person in his position, continue to be the worlds greats Lair lair lair, He sure does not think the American people are very smart. The views of voting Citizen

  26. Obama and the progressive dems don’t want to stabilize the economy. they keep playing these games and blaming it on the republicans. And every one knows what’s really going on, that is if they’re halfway knowledgeable and have ever read a bible. It’s all a push to the one world order. No I’m not a nutjob conspiracy theorist. But I read the end of the book and know how it all turns out. at any rate it’s almost time to play cowboys and government. As we the people can’t afford this people are going to start gettin real hungry before long and folks aren’t as nice when they’re hungry.

  27. How can we be so unanimous in raiding a system that is already on the way to insolvency. Republicans need to say no and let the public know that by doing so they are acting to protect Social Security.

  28. Our unborn’s unborn will be paying for our thievery. Spending the social security trust fund is another thing the demoos should not have done and just to breed and support millions of deadbeats on welfare to vote demo.
    People who pay taxes have jobs. It is MORE jobs we need
    Generations beyond us will have their own bills to pay.
    Repubs straighten out this mess.

  29. The United States of America was a great experiment in a free society that made the country legendary , which was very fortunate because now it only lives as a memory or ” legend “.

  30. How much more rear-end kissing do we have to do to the senate. They cash their checks, don’t they, and yet they want almost one month off to go home. well they should just stay put and for once in their life put the business of the people before the business of them the incompetents. I am so sick of this democratic senate, anyone else out there? We keep talking about the next president, let’s mention this now, we need to have a republican senate and keep whatever president we have nose to the grindstone.

  31. Does the House Bill include the Keystone Pipe Plan? If not the Repubs now have a chance to offer NEW JOBS (that are real new jobs) . If Not, the repubs had a choice to make THE GREAT MESSIAH to act!!! Also, how is the payroll tax reduction for 1 year to be paid??? The news pundits have not answered these questions and neither has John Baynor (sp).. Richard Klein.

  32. Harry Reid is just a puppet of the WH. He couldn’t order his own supper without the approval of the WH. Nothing will get done until the Senate has someone with a mind of their own. Meanwhile the American public will suffer from this double talking individual. The POTUS also does a lot of double talking, as” I want this for a full year”but now a two month period is OK. Time for the POTUS to tell Reid and his amigos to return and hash this out with the House.(Oh! I forgot, its vacation time! Oh Boy, a whole month off)

  33. Let’s cut to the chase. This so called tax cut is just a raid on Social Security for purely political purposes. It is simply another form of government theft and should not be renewed for this reason. That being said, we need to seriously reconstitute the Senate with real conservatives such as we have begun to do in the House. The era of the John McCains and Lindsey Grahams of the Senate (i.e., compassionate conservatives) who think it is their duty to reach across the aisle and compromise with the progressives who, by the way, want to destroy our economy and our republic, is over. This can also be said of John Boehner in the House, and his generation of political hacks. We need term limits and the election of great citizens who merit the election of their peers for they must do a very difficult job. It will not be easy, nor will it be popular. There will be a lot of sacrifice in the beginning, for sure. However, if we can get rid of the liberals/socialists/marxists in our political midst and begin the road back to prosperity by cutting taxes, unleashing the private sector, maintaining our security, protecting our borders, and encouraging business by reducing regulations, expanding our utilization of carbon based fuels that can be produced here on our own continent by our own citizens, we will most certainly have a gradual and then an accelerating change in the direction we are headed in the next decade or so. We truly need at least 25 to 40 years of serious political and fiscal conservatism to rescue our country, but it can be done……… IF WE ELECT THE RIGHT LEADERSHIP BEGINNING IN 2012.

  34. I have no problem with a bill that is strictly about extending the payroll tax decrease. What I DO have a problem with is that the bill has multiple other unrelated parts! While I know that amending motions is acceptable parliamentary procedure, the Congress has taken it to new lows by amending a good idea with tons of unnecessary garbage. Often times it is total pork. They should keep to the motion at hand and amend it only to change the actual content of the original motion. For example in this measure that would be something such as changing the length of time or amount. I am totally disgusted with the lack of professionalism exhibited by the Congress!

  35. The political gaming by the democrats is criminal. They have not passed a budget in 3 years. They talk about the house not voting on a bill that independent economist say that want work, yet the house sends numerous bills that are just tabled. The whole senate should be kicked out. The lawlessness that is allowed to go on by this administration and the Dems is enough. Tired of this crap. Repubs stand your ground. I am a bit upset with the repubs in the senate not getting with the house before they voted, this makes them look bad.

  36. Citizen voting on laws sounds great, but we will get 30 secnd commercials telling us what is in a bill that favors the commercial writer and not the crape that screws the citizens who vote! This way the guy with the most money will get what he wants anyway!

  37. There are only 3 ways to fix congress. 1. Term limits, 2. make law if they cannot balance and pass a budget each year all congress is up for re-election and 3. never vote for a present member of congress – alway vote the new guy in!

Leave a Reply

Your email address will not be published. Required fields are marked *