Skip to content
Catholic Online Logo

By Catholic Online (NEWS CONSORTIUM)

1/2/2013 (2 years ago)

Catholic Online (

Plan calls fro $600 million over 10 years in lieu of tax increases all at once

The highlights of a bill Congress passed on New Year's intended to divert widespread tax increases and budget cuts that were to begin this week have been released. The measure raises taxes by about $600 billion over 10 years in lieu with tax policies that were due to expire at midnight on Monday. The bill also adds a two month delay for across-the-board budget cuts to the Pentagon and numerous domestic agencies.

John Boehner and Eric Cantor with the news.  Good news for those still struggling to find work - the plan extends jobless benefits for the long-term unemployed for one year.

John Boehner and Eric Cantor with the news. Good news for those still struggling to find work - the plan extends jobless benefits for the long-term unemployed for one year.


By Catholic Online (NEWS CONSORTIUM)

Catholic Online (

1/2/2013 (2 years ago)

Published in Politics & Policy

Keywords: Fiscal cliff, plan, unemployment benefits, across-the-board budget cuts

LOS ANGELES, CA (Catholic Online) - Awaiting U.S. President Barack Obama's signature is a plan passed by Congress. Among the many highlights of the plan are:

Income tax rates.
The plan extends decade-old tax cuts on incomes up to $400,000 for individuals, $450,000 for couples. Those who make above those amounts will be taxed at a rate of 39.6 percent, up from the current 35 percent. This plan extends Clinton-era caps on itemized deductions and the phase-out of the personal exemption for individuals making more than $250,000 and couples earning more than $300,000.

Estate tax.
Estates will be taxed at a top rate of 40 percent. The first $5 million in value will be exempt for individual estates and $10 million for family estates. Such estates were subject to a top rate of 35 percent last year.

Capital gains, dividends.
Taxes on capital gains and dividend income exceeding $400,000 for individuals and $450,000 for families would increase from 15 percent to 20 percent.

Alternative minimum tax.
This part of the bill permanently addresses the alternative minimum tax and indexes it for inflation to prevent nearly 30 million middle and upper-middle income taxpayers from being struck with higher tax bills by as much as $3,000. The tax was originally designed to ensure that the wealthy did not avoid owing taxes by using loopholes.

Other tax changes.
This plank of the plan extends for five years the Obama-sought expansions of the child tax credit, the earned income tax credit and an up-to-$2,500 tax credit for college tuition. This also extends for one year accelerated "bonus" depreciation of business investments in new property and equipment, a tax credit for research and development costs and a tax credit for renewable energy such as wind-generated electricity.

Unemployment benefits.
Good news for those still struggling to find work - the plan extends jobless benefits for the long-term unemployed for one year.

Cuts in Medicare reimbursements to doctors. The plan will halt a 27 percent cut in Medicare payments to doctors for one year. The cut is the product of an outdated 1997 budget formula.

Social Security payroll tax cut.
This will let a 2-percentage-point cut in the payroll tax first enacted two years ago to lapse, which restores the payroll tax to 6.2 percent.

Finally, Across-the-board cuts.
The plan will put off for two months $109 billion worth of across-the-board spending cuts set to start striking the Pentagon and domestic agencies this week.

The House of Representatives late Tuesday night voted 257 to 167 to approve a "fiscal cliff" deal that had been negotiated by Senate Minority Leader Mitch McConnell (R.-Ky.) and Vice President Joe Biden and approved by the Senate in the wee hours of Tuesday morning.


Pope Francis: end world hunger through 'Prayer and Action'

Copywriter 2015 - Distributed by THE NEWS CONSORTIUM

Pope Francis Prayer Intentions for October 2015
That human trafficking, the modern form of slavery, may be eradicated.
Evangelization: That with a missionary spirit the Christian communities of Asia may announce the Gospel to those who are still awaiting it.


More Politics & Policy

President Obama faces uphill battle with Pacific Rim trade pact Watch

Image of The Trans-Pacific Partnership is being battered on both sides of the right and the left in the U.S.

By Catholic Online (NEWS CONSORTIUM)

United States President Barack Obama has hailed the Trans-Pacific Partnership (TPP) the largest free-trade agreement in a generation, as its completions will open new markets for U.S. goods and services. While Obama says the agreement will give "our workers the fair ... continue reading

California Governor Jerry Brown signs 'End of Life Option Act' Watch

Image of

By Catholic Online (NEWS CONSORTIUM)

California Governor Jerry Brown has signed the "End of Life Option Act" into law this week. While he remained largely ambiguous about the bill, he came forward with the statement that the "Crux of the matter is whether the state of California should continue to ... continue reading

Trans-Pacific Partnership faces criticism in Congress Watch

Image of Citizen protests the Trans Pacific Partnership (AFP).


The controversial Trans-Pacific Partnership has been finalized and will be presented to business leaders by US President Barack Obama. However, Congress has already shown skepticism over the pact. LOS ANGELES, CA (Catholic Online) - Twelve countries in the Pacific Rim ... continue reading

#IAmaChristian: Ben Carson honors the Oregon shooting's fallen students Watch

Image of Ben Carson (Facebook).


Nine were shot dead during the recent horrifying shooting at the Umpqua Community College in Roseburg, Oregon where a student claimed the gunman specifically targeted the religious. Following the claim, Republican presidential candidate Ben Carson started a social ... continue reading

Supreme Court to render decisions on sensitive topics of abortion, birth control, race Watch

Image of An even more pressing issue to go before the court will be the issue of religious freedom coupled with President Obama's health care reform.

By Catholic Online (NEWS CONSORTIUM)

The Supreme Court is rolling up its sleeves to render decisions that have long roiled the United States: abortion, birth control, religious freedom, and race. None of the pending decisions is likely to have the same import as the recent decision regarding ... continue reading

False ambassador has been working in government affairs for five months Watch

Image of Brett McGurk (C-Span).


For five months, an Obama administration official falsely presented himself as an official U.S. ambassador.  LOS ANGELES, CA (Catholic Online) - Brett McGurk, who is a deputy special presidential envoy to the Global Coalition serving under General John Allen, was ... continue reading

Will slow and steady win presidential race? Bernie matches Hillary with far smaller donations Watch

Image of

By Catholic Online (NEWS CONSORTIUM)

Longtime - if recently troubled political warhorse Hillary Clinton and avowed socialist Bernie Sanders are currently duking it out for the lead in the Democratic Presidential Race of 2016. Something highly significant has emerged in the contest ... the poor, ... continue reading

Donald Trump meets with 40 religious leaders and prays Watch

Image of Donald Trump meets religious leaders inside the Trump Tower.


Forty religious leaders and pastors met with presidential candidate Donald Trump in his Trump Tower office Monday afternoon. Trump shared a few minutes of prayer with the religious leaders, some of whom are noted televangelists. LOS ANGELES, CA  (Catholic Online) ... continue reading

DOUBLE DIPPING? Hillary Clinton aide paid by consulting firm to while also with State department Watch

Image of Some sources agreed to describe Huma Abedin's work for Teneo on the New York event, along with her subsequent work at the State Department for a Teneo-connected event in Ireland four months later in December.

By Catholic Online (NEWS CONSORTIUM)

There are new revelations that Huma Abedin, Hillary Clinton's confidante, was paid both by the State department alongside the private consulting firm Teneo Holdings. Recent newspaper reports say Abedin staged a star-studded reception that included her boss' ... continue reading

Handing hat to Obama, Russia begins to do America's job at the UN Watch

Image of Vladimir Putin and Barack Obama dueled verbally at UN headquarters in New York, debating the course of action the world should take in Syria.

By David Drudge, Catholic Online (NEWS CONSORTIUM)

The Theater of the Absurd continues at the United Nations headquarters in New York as President Obama and Vladimir Putin recite harsh lines at one another over strategy in Syria. Ironically, it is Putin, not Obama, who is calling for UN action against the Islamic ... continue reading

All Politics & Policy News


Newsletter Sign Up icon

Stay up to date with the latest news, information, and special offers

Subscribe to Catholic OnlineYouTube Channel

Daily Readings

Reading 1, Jonah 3:1-10
1 The word of Yahweh was addressed to Jonah a second ... Read More

Psalm, Psalms 130:1-2, 3-4, 7-8
1 [Song of Ascents] From the depths I call to you, ... Read More

Gospel, Luke 10:38-42
38 In the course of their journey he came to a ... Read More

Saint of the Day

Saint of the Day for October 6th, 2015 Image

St. Bruno
October 6: Bruno was born in Cologne of the prominent Hartenfaust family. ... Read More