
It's recess!
The House and Senate approved budget resolutions - a blueprint for spending and tax policy - last week and skipped town. They return on March 31 for a grueling eight-week session.
Just like last year, Congressional Democrats added $20 billion more to domestic spending programs than President Bush requested. To avoid having him veto any appropriations bills, Congress can just wait until Bush leaves office before completing the fiscal 2009 budget. Even though the fiscal year begins Oct. 1, 2008, Congress can pass "continuing resolutions," or budgets that keep the government afloat at current spending levels.
Once again, the biggest dispute between House and Senate Democrats is over the alternative minimum tax, which now affects more middle-income earners because there are so many deductions in the tax code.
Both plans provide AMT relief for 20 million people. House Democrats said they would make up for lost revenue through tax increases and/or spending cuts. Senate Democrats said they would just "eat" the losses.
Posted at 09:38 AM
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