By ANDREW TAYLOR, Associated Press
WASHINGTON – President Barack Obama said Tuesday he’s hopeful Congress will renew a 2 percentage-point cut in the payroll tax before it lapses at the end of the month, but said it’s important to also renew jobless benefits for millions of the long-term unemployed as well.
“Just pass this middle-class tax cut. Pass the extension of unemployment insurance,” Obama said at a White House appearance. “Do it before it’s too late and I will sign it right away.”
Obama made his remarks a day after House GOP leaders dropped plans to require spending cuts to cover the nearly $100 billion cost of extending the payroll tax cut through the end of the year. The Republicans decided instead to add it to the nation’s $15 trillion-plus debt.
The GOP turnabout could rile fiscal conservatives but party leaders want to make doubly sure they don’t get the political blame in case the tax cut – which delivers $20 a week to a typical worker making a $50,000 salary – is terminated.