The Obama administration has come to somewhat of a happy medium with Republicans on extending both tax cuts - and unemployment benefits - for millions of Americans. Tax Cuts And The Federal Budget The president said during his campaign that he originally planned tax cuts for the 'middle class' (a term that needs further defining in this current economic climate), but has since changed his stance. "It would be a grave injustice to let taxes increase for these Americans right now. And it would deal a serious blow to our economic recovery", the president said yesterday in remarks to the press. Both parties voted to extend Bush-era tax cuts (for two years) while extending unemployment benefits for 13 months. Without the tax cuts Americans could see their taxes rise beginning January 1, 2011. "I am not willing to let that happen. I know there’s some people in my own party and in the other party who would rather prolong this battle...
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