The payroll tax cuts and jobless benefits break for the Americans should be extended for one year, not for a short-term two months, U.S. House Speaker John Boehner said on Monday.
The Senate voted Saturday and approved a two-month extension of payroll tax cuts and jobless benefits for the long-term unemployed. The legislation which was passed by an 89-10 vote also contained a provision demanded by Republicans to speed approval of the construction of a Canada-to-Texas oil pipeline.
After GOP House lawmakers balked at the popular measure that cleared the upper chamber, Republican leaders including Senate Minority Leader Mitch McConnell and Boehner began to walk away from the bipartisan deal.
Boehner said at a Monday press conference that he requested immediate negotiations on a full-year extension of the tax cuts and jobless benefits to provide certainty for job creators.
"Americans are tired of Washington's short-term fixes and gimmicks, which are creating uncertainty for job creators at a time when millions of Americans are out of work," Boehner stressed.
Facing pressure from rank-and-file House GOP lawmakers, Boehner, the top GOP congressman, said Sunday that payroll tax cuts and unemployment benefits deal inked by the upper chamber was not satisfactory, as he held they should be extended for one year instead of two months, adding a new twist to a dramatic year-end confrontation with the Senate and White House.
"Instead of passing the House bill or another bill which extended the payroll tax credit for a year, the Senate Democrat leaders passed a two-month extension, punting the problem into next year. We oppose the Senate bill because doing a two-month extension instead of a full-year extension causes uncertainty for job creators," Boehner said.
A typical U.S. family with an annual income of 50,000 dollars would pay 1,000 dollars more in payroll taxes if Congress does not act by the end of this year to extend that reduction, according to the White House.