House to decide fate of fiscal cliff
WASHINGTON, D.C.– While the battle continues in Washington over spending cuts, it appears that most Americans can breathe a little easier.
At midnight, the U.S. went over the “fiscal cliff.”
However, the Senate approved a plan that extends tax cuts for the middle class and delays massive federal spending cuts from going into effect.
Under the Senate’s plan, taxes will increase for people making over $400,000 a year and couples making over $450,000 a year.
It extends some unemployment benefits while delaying spending cuts to the military and federal agencies for another two months.
Now it is up to the House of Representatives to make its decision.
Rep. Tom Cole,(R) from Oklahoma, said, “We need to take this deal right now and we will live to fight another day and it’s coming on the spending front.”
While some representatives want their colleagues to approve the plan, the fate of the deal now rests with House Speaker John Boehner.
If the House rejects the deal, tax hikes will go into effect and $110 billion will be cut from domestic and military spending.