U.S. House sets Sunday session as 'fiscal cliff' deadline nears

WASHINGTON Fri Dec 28, 2012 2:26am IST

Actors dressed as (L-R) Joseph and the Three Wise Men, part of a live-human nativity scene, stroll past the U.S. Capitol Building after demonstrating outside the nearby Supreme Court in Washington, December 5, 2012. REUTERS/Jason Reed

Actors dressed as (L-R) Joseph and the Three Wise Men, part of a live-human nativity scene, stroll past the U.S. Capitol Building after demonstrating outside the nearby Supreme Court in Washington, December 5, 2012.

Credit: Reuters/Jason Reed

Related Topics

WASHINGTON (Reuters) - The House of Representatives will return to Washington on Sunday night, just over a day before U.S. income tax rates are set to spike higher, in a last-ditch chance to avert the year-end "fiscal cliff."

Senior Republican aides confirmed that House Speaker John Boehner on Thursday told members to be back in Washington in time for a 6:30 p.m. EST (2330 GMT) legislative session on Sunday.

The House may then stay in session until January 2, the final day of the current Congress, according to a Twitter message from House Majority Leader Eric Cantor.

That is the day that another component of the "fiscal cliff" - $109 billion in automatic spending cuts to military and domestic programs - is set to start.

The House went on recess a week ago amid a deadlock over how to resolve ways to avoid the $600 billion in tax increases and spending cuts that could throw the U.S. economy back into recession.

Some media outlets reported that Obama would meet with congressional leaders on Friday, but several congressional aides said no such meeting had yet been arranged.

If a meeting occurs, Obama is not expected to offer a new "fiscal cliff" solution and he is instead likely to stick to the outline he set out a week ago for a stop-gap fix, according to a senior Democratic aide.

That would include legislation to shield most Americans from any income tax increase starting on January 1, except for those households with net incomes above $250,000 a year. Obama also wants an extension of expiring benefits for the long-term unemployed.

So far, the Republicans who control the House have refused to go along with any measure that would raise income taxes on anyone.

Meanwhile, House Republican leaders held an approximately 35-minute telephone conference call with rank-and-file members on Thursday, according to one Republican aide.

"There were a lot of different members who spoke on the call. All had questions. All had comments," the aide said, refusing to elaborate.

(Reporting By Richard Cowan and David Lawder; Editing by Will Dunham)

FILED UNDER:
Comments (0)
This discussion is now closed. We welcome comments on our articles for a limited period after their publication.

  • Most Popular
  • Most Shared

Economic Pulse

REUTERS SHOWCASE

NSEL Fraud

NSEL Fraud

Govt orders Financial Tech to absorb NSEL, liabilities  Full Article 

Stalemate

Stalemate

WTO prepares for crisis talks as India keeps veto on global deal.  Full Article 

Deal Talk

Deal Talk

Smartphone repair company B2X steps up expansion with Indian deal.  Full Article 

Earnings Season

Earnings Season

HDFC Bank eyes pickup in corporate credit.  Full Article 

JLR China

JLR China

JLR sees 20 percent growth in China sales this year - exec  Full Article 

Iron Ore Imports

Iron Ore Imports

JSW Steel to boost iron ore imports by up to 80 percent.  Full Article 

Pollution Levels

Pollution Levels

Delhi braces for worst air quality this Diwali week.  Full Article 

Remembering Margerie

Remembering Margerie

Total’s "Big Moustache"- bon vivant, deal-maker and risk-taker .  Full Article 

Reuters India Mobile

Reuters India Mobile

Get the latest news on the go. Visit Reuters India on your mobile device.  Full Coverage