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Federal Unemployment Extension Likely

Federal Unemployment Extension Likely - After a weekend of political posturing, both Democrats and Republicans are indicating a deal to temporarily extend the Bush-era tax cuts and federal unemployment benefits is imminent. According to a story in the New York Times, a deal could be announced as soon as midweek.

It's thought that the deal will temporarily extend Bush-era tax cuts for two years and federal unemployment benefits for one year.

Republicans have been opposed to extending federal unemployment benefits without offsetting the cost, but the WSJ is reporting that a GOP aide said "there may be some 'buckle' on that point in the interest of getting the deal done."

Democrats are also pushing for the deal to include extensions of stimulus provisions that provided tax cuts to working-class Americans. Without the extension of those provisions, 95 percent of Americans would pay higher taxes next year, a White House official said.

The White House has been negotiating mostly with Republicans in the Senate who hold the power to filibuster any legislation that doesn't meet their demands.

Federal Unemployment Extension Likely

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