Boehner Agrees to Higher Taxes On Millionaires and Debt Ceiling Hike

Via LearnVest By Joe Weisenthal for Business Insider ~

This post originally appeared on Business Insider.

Things are getting interesting on the Fiscal Cliff front.

Saturday night it was reported by multiple outlets that John Boehner agreed to let taxes rise on those making $1 million or more per year. That was seen by the White House as a too-narrow concession, but it was something, as it meant that the real negotiation was beginning, as the two sides have begun to trade taxes and spending cuts.

Now there’s more signs of real movement.

The Washington Post’s Lori Montgomery and Paul Kane report that John Boehner has now offered to include a one-year debt ceiling hike in his offer, taking away a key point of Republican leverage coming up in just a couple of months.

From WaPo:

The White House rejected the offer, saying it would raise too little cash to significantly dent record budget deficits and do nothing to extend emergency unemployments benefits into the new year, according to a Democrat familiar with the talks.

But the tax offer was viewed as a breakthrough, the Democrat said. Senior White House officials remained in contact with Boehner’s staff throughout the weekend in a sign that serious negotiations had finally begun after weeks of stalemate and partisan posturing.

Clearly with the clock ticking down, Boehner is actually putting things on the table that represent concessions. Next is for The White House to counter with something new.

That being said, John Boehner is definitely risking revolt on the right with some of these offers.

Republicans resigned to “losing” the Fiscal Cliff fight have been hopeful that they could use the debt ceiling as leverage to get more spending cuts. Now Boehner seems to be giving that up, while also cracking (ever so slightly) on higher taxes.

LearnVest is the leading lifestyle and personal finance website for women.

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