Hoyer reiterates call to continue tax cuts for the middle class

“The president is committed to that; we’re committed to that,” he told reporters, adding, “We’ve anticipated doing that [extending middle-class tax cuts]. With respect to the other tax cuts on the wealthiest in America, we don’t believe that will impact the economy, and we believe that will make the deficit a lot worse.”

The Senate is expected to act first on extending the Bush-era tax cuts and there is growing sentiment in that chamber that all of the breaks should be extended because of the weakening economic recovery. 

Hoyer would not comment on whether he would allow a vote on legislation that continues all of the tax cuts. 

“We’ll see what the Senate does, but [only extending tax cuts for the middle class] is our position,” he said. 

Senate Majority Leader Harry Reid (D-Nev.) on Monday signaled that when his chamber returns next week, it will only extend the breaks benefiting the middle class after it votes on legislation providing tax cuts and loan opportunities to small businesses. 

“When we return to the Senate this fall, Democrats’ first order of business will be to pass bipartisan legislation that helps small businesses create more jobs,” he said in prepared remarks. “And we will put even more money back into workers’ pockets by extending middle-class tax cuts.”

A proposal that extends only a portion of the Bush tax cuts could set up a protracted debate between senators who believe a tax hike will hinder economic growth and those who think the increase will have little impact. 

Meanwhile, White House Press Secretary Robert Gibbs said a tax increase on wealthier taxpayers will not affect their spending. 

“I think if you’re making $250,000 or $400,000 or $600,000 or $800,000 in this economy, you’re not putting off the purchase of — there’s not a great crush on, or pullback on your consumer demand,” he told reporters. “This economy is not hurting people that make $800,000 a year, it’s hurting families that are making $40,000 a year.”