Payroll tax deadlock ends as House caves - WAOW - Newsline 9, Wausau News, Weather, Sports

Payroll tax deadlock ends as House caves


WASHINGTON (AP) -- A standoff by House Republicans against a two-month extension of the payroll tax cut has ended with an abrupt surrender.

The holdout lawmakers gave in to demands by President Barack Obama, congressional Democrats and the Republican establishment to go along with the compromise cleared Saturday by the Senate.

The breakthrough almost certainly spares about 160 million workers an average $20 a week tax increase Jan. 1.

Speaker John Boehner dropped demands for immediate holiday season talks with the Senate on a full-year measure that all sides said they want. Texas Republican Rep. Kevin Brady compared the heat the holdouts were getting to the battle of the Alamo, with no reinforcements and friends shooting at them.

The developments were a clear win for Obama. The House and Senate plan to act on the two-month extension Friday and send the legislation to the president.

(Copyright 2011 by The Associated Press. All Rights Reserved.)

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