‘Major Progress’ in Cliff Talks

    FILE - In this Dec. 10, 2012 file photo, fog obscures the Capitol dome on Capitol Hill in Washington. Big tax increases will hit millions of families and businesses a lot sooner than many realize if Congress and the White House don't agree on a plan to avoid the year-end fiscal cliff of automatic tax increases and government spending cuts. In fact, they already have. More than 70 tax breaks enjoyed by individuals and businesses already expired at the beginning of this year. If Congress doesn't extend them, a typical middle class family could get a $4,000 tax hike when they file their 2012 returns next spring, according to a private analysis. At the same time, businesses could lose dozens of tax breaks they have enjoyed for years. (AP Photo/J. Scott Applewhite)

    J. Scott Applewhite

    Deal or no deal? While the rest of Congress went to bed last night, Senate Minority Leader Mitch McConnell and Vice President Joe Biden were reportedly negotiating the impending fiscal cliff into the wee hours of the morning—and allegedly made significant progress. The deal in question would involve Senate Republicans agreeing to extend tax cuts for families who earn more than $450,000 and individuals who make more than $400,000—a significant concession for a party that has staunchly opposed hiking taxes at all. If they don’t pull through on this one, every income group will be hit with a tax hike starting Tuesday. 

    Read it at The Daily Beast