In case you’re following the rumors and trial balloons that are leaking out of the fiscal cliff negotiations, here’s the newest one:
The details, via a source familiar with the negotiations, include: a movement on revenue demands to $1.2 trillion from an initial $1.6 trillion, a permanent extension of Bush-era tax rates for incomes less than $400,000 (Obama initially set the threshold at $250,000), $1.2 trillion in spending cuts, a “fast track process” for corporate and individual tax reform once the new Congress convenes, permanent extension of tax extenders and the alternative minimum tax, an extension of unemployment benefits set to expire at the end of the year, additional stimulus in the form of infrastructure spending and a two-year debt limit increase.
The White House proposal would also allow the payroll tax cut to expire, and call for $130 billion in savings from Social Security benefits by adjusting the program’s inflation index. The offer would include protections for the most vulnerable recipients, the person said.
The Social Security and Payroll Tax things suck, and I have no idea what the spending cuts will ultimately look like, so whatever on that. Look, this isn’t the deal, it’s the deal right now — maybe. Get outraged or ignore this however you’d like.