Posted byon December 15, 2010
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The Obama tax deal is in full motion this week. The Senate moved the new tax deal forward with a procedural vote on Monday. They will vote on the final tax cut today.
The tax cut will keep the Bush tax cuts from expiring, which were set to expire at the end of the year. The 2011 tax deal would extend the 2001 tax cuts for two more years, until 2012.
The cost of the new tax deal is $858 billion. It is more expensive than the 2009 economic stimulus package.
As it stands the tax compromise includes tax cuts for everyone, not just those with an income below $250,000, as the Democrats supported.
This differs from votes in our poll: Will the Obama Tax Cuts Pass? The majority of readers assumed that the tax cuts would be extended only for people making under $250,000.
If you want to see what the Obama tax cut will look like for your taxes, you can use the 2011 Tax Calculator to see a projection.
The following 2009 tax deductions and credits were allowed to expire and cannot be claimed on your 2010 taxes:
Stay tuned for more on tax deal Obama for 2011!