Posted By thestatedtruth.com on December 15, 2010

The U.S. Senate on Wednesday officially approved an $858 billion bill extending the Bush-era tax cuts for two years in an 81-19 vote. Next up the House vote…..huff and puff maybe as soon as Thursday.

The new legislation would extend Bush-era tax cuts for an additional two years for people of all income levels. It would cut payroll taxes for workers in 2011 and extend a range of expired business-tax breaks like the research-and-development credit. the legislation also reduces federal payroll taxes for most American workers for one year by two percentage points to 4.2% from 6.2%. Jobless benefits would be extended for 13 months as well as tax benefits Obama championed for low-income families that were part of 2009 economic-stimulus legislation.

The bill also allows businesses to write off 100% of equipment purchases made after Sept. 8, 2010, but before Jan. 1, 2012. It shields most taxpayers from the alternative minimum tax in 2010 and 2011. And it renews a host of expired tax breaks for businesses, including a tax break on banks’ overseas income, quicker depreciation for restaurant improvements and the 45-cent tax credit for ethanol blenders.

Categories: Commentary, Economy, National News, Wall Street
Tags: 2010 tax plan, senate approves tax cuts, tax vote