It may still take some time to work out the final details, but we seem to be on the road to a deal on the tax and budget impasse known as the fiscal cliff, as the latest signs of an agreement came on Monday with a new offer by the White House.
After Speaker Boehner had proposed allowing tax rate increases on those making more than $1 million per year, the White House responded with its own offer of a $400,000 limit, up from the much discussed level of $250,000 per year.
The two sides were still apart on budget cuts, as Republicans said the latest Obama offer includes $1.3 trillion in revenue and $930 billion in budget savings – the GOP wants a one-for-one balance that is closer to $1 trillion.
“We hope to continue discussions with the President so we can reach an agreement that is truly balanced and begins to solve our spending problem,” said Boehner spokesman Brendan Buck last night.
The White House, meanwhile, wasn’t saying much in public about any of the details that were being worked on by the President.
“He believes that a deal is possible,” said spokesman Jay Carney in his Monday briefing for reporters.
“As I’ve said in the past, he’s prepared to make tough choices,” Carney added, as both sides say they are ready to make the difficult choices, while the other party is not.
We’ll see if Tuesday brings any more headway in these negotiations.
At this point, it may be difficult to wrap up anything before Christmas, as votes between Christmas and New Year’s may be needed to enact a fiscal cliff agreement.