ABC News’ latest report on the “fiscal cliff” reveals that a deal is within sight but not yet complete with just hours to go before the nation reaches the “fiscal cliff”. ABC News reports that President Obama stated that “There are still issues left to resolve but we’re hopeful Congress can get it done. . . . But it’s not done.” It appears if there is going to be an agreement to avert the fiscal cliff it will be in the 11th hour.
A few things that ABC News has reported is imminent include the following:
- Regardless of the “cliff,” virtually all workers are due to see less in their paychecks starting in January when the temporary 2% payroll tax cut will expire.
- More than $1 trillion in automatic spending cuts to defense and domestic programs will also begin to take effect later this week unless Congress delays or replaces them.
Joining in the same frustration that the majority of Americans are feeling right now due to the failure of Congress to find a resolution before the “11th hour” is Senator Joe Manchin (D – W. Va.). ABC News reports that Senator Manchin stated “it is absolutely inexcusable that all of us find ourselves in this place at this time . . . Something has gone terribly wrong when the biggest threat to our American economy is our American Congress.”
Congress and Senate both realize that the cost of failure is high. Unless the two sides can reach agreement, historic tax hikes are set to hit virtually every American on January 1, 2013, which could drive the nation back into recession. Another very important issue is the filing of income taxes.
As more information is made available, posts will be made to keep everyone up-to-date on the status of the “fiscal cliff”.
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