Congress remains stuck in political gridlock. Senate Republicans yesterday blocked a final vote on a small business jobs bill. The extenders legislation has been going nowhere fast for months. The estate tax is still dead. And it seems like Congress just can't kill the alternative minimum tax.
And every day that passes means we're closer to the sunsetting of Dubya's tax laws.
Unless Congress acts, Dec. 31, 2010, will be the last day of the 10 percent lowest tax bracket, the 35 percent instead of 39.6 percent top tax bracket, the 0 percent and 15 percent long-term capital gains and qualified dividends tax rate, exemption and deduction phaseouts will resume, and the $1,000 child tax credit will drop back to $500.
But thank goodness for Stephen Colbert. He's figured out how to defuse the "tax bomb" set to explode at the end of the year.
|The Colbert Report
|Mon - Thurs 11:30pm / 10:30c
|The Word - Ownership Society
One part of Colbert's plan could work. If we could just get Republicans and Democrats to share a few brewskis they might be in a better mood and finally decide to work together.
Or we could have one gigantic bar brawl on Capitol Hill.
We likely won't find out one way or the other until after Nov. 2, as both sides seem committed to making tax policy a major factor in this year's elections.Related posts:
- Your 2011 tax burden
- Tax cuts or total tax reform?
- 2010's expiring tax cuts likely to be dealt with by a lameduck Congress
- How to raise $1.9 trillion in taxes
- Today's taxes aren't too bad
- Federal tax law changes (PowerPoint)
- A look back at the decade in taxes