WASHINGTON — Furious House Democrats dug in their heels in their battle with the White House over a plan to extend the Bush-era tax cuts — vowing yesterday to block any attempt to bring the bill to the floor until it’s changed to their liking.
“If it’s ‘take it or leave it,’ we’ll leave it,” fumed Rep. Lloyd Doggett (D-Texas), responding to Vice President Joe Biden’s stern message to Democrats that the deal was settled.
President Obama reached the deal with Republican leaders to extend expiring tax breaks for all income levels — including the wealthiest Americans — for two years, despite Democratic opposition to handing breaks to the top wage earners.
Last night, Senate leaders unveiled their tax plan, which included the Republicans’ deal with the President as well as an extension of tax breaks for ethanol and other forms of alternative energy favored by Democrats.
The plan, which adds $857 billion to the debt over 10 years, is expected to be put to a vote on Monday.
House Democrats, meanwhile, were livid about the original deal.
“It is not acceptable to the House Democratic Caucus. It’s as simple as that,” said Rep. Chris Van Hollen (D-Md.).
Democrats, who next month will give up their House majority after being pummeled by the GOP in the midterm elections, chanted, “Let’s say no,” in a closed-door meeting.
The vote was a clear expression of defiance, but it wasn’t clear whether the nonrecorded “voice vote” could scuttle the deal.
House Speaker Nancy Pelosi now must decide whether to bring the bill to the floor. If she does, she’d essentially be going against her caucus and siding with Obama.
Pelosi put out a statement that slammed the deal’s extension of tax cuts for all earners, including those married couples who top $250,000, saying House Democrats had voted for a bill that doesn’t include “a bonus tax cut to millionaires and billionaires.”
Despite the flare-up, the White House remained confident the tax-cut bills would be approved.
“The deal will get passed,” said press secretary Robert Gibbs.
The bill includes extending unemployment insurance for 13 months and trimming the Social Security payroll tax for a year.
Meanwhile, President Obama has directed his economic team to begin analyzing options for overhauling the US tax code as part of an effort to trim the long-term deficit, an administration official said.
No decisions have been made about what options to pursue or a timeline for presenting a plan to lawmakers. Any changes likely would take years to implement.