Democrats to Introduce Bill to Extend Payroll Tax Cut

Senate Majority Leader Harry Reid, D-Nev., said Monday that he plans to introduce legislation this week that would extend the payroll tax cut that is due to expire at the end of the year.

The tax cut extension would be offset with a surtax on millionaires, setting up a battle with Republican lawmakers who are opposed to any tax increases.

“This week we’ll introduce legislation that would give the economy a boost by putting money back in the pockets of middle-class workers and businesses by extending and expanding the popular payroll tax cut,” Reid said on the Senate floor Monday. “More than 120 million families took home an extra $120 billion this year thanks to payroll tax cuts Democrats championed. The average family held onto $935 more of their heard-earned dollars this year. We need to assure those families that they can rely on that tax cut next year as well.”

The tax cut extension would be offset with a surtax on millionaires, setting up a battle with Republican lawmakers who are opposed to any tax increases.

“This week we’ll introduce legislation that would give the economy a boost by putting money back in the pockets of middle-class workers and businesses by extending and expanding the popular payroll tax cut,” Reid said on the Senate floor Monday. “More than 120 million families took home an extra $120 billion this year thanks to payroll tax cuts Democrats championed. The average family held onto $935 more of their heard-earned dollars this year. We need to assure those families that they can rely on that tax cut next year as well.”