# Omnibus bill and tax cuts

**URL:** <https://boards.straightdope.com/t/omnibus-bill-and-tax-cuts/564508>\
**Category:** Factual Questions\
**Created:** [December 17, 2010, 2:54pm UTC](https://boards.straightdope.com/t/omnibus-bill-and-tax-cuts/564508 "2010-12-17T14:54:22Z")\
**Posts on this page:** 6\
**Page:** 1

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**Author:** ![Pierrot\_Le\_Fou](https://avatars.discourse-cdn.com/v4/letter/p/f475e1/32.png) [@Pierrot\_Le\_Fou](https://boards.straightdope.com/u/Pierrot_Le_Fou)\
**Post date:** [December 17, 2010, 2:54pm UTC](https://boards.straightdope.com/t/omnibus-bill-and-tax-cuts/564508/1 "2010-12-17T14:54:22Z")

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How does the ombibus spending bill relate to the tax cuts? If the omnibus spending bill fails to pass, will the tax cuts go through?

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**Author:** ![SanDiegoTim](https://avatars.discourse-cdn.com/v4/letter/s/85e7bf/32.png) [@SanDiegoTim](https://boards.straightdope.com/u/SanDiegoTim)\
**Post date:** [December 17, 2010, 3:47pm UTC](https://boards.straightdope.com/t/omnibus-bill-and-tax-cuts/564508/2 "2010-12-17T15:47:42Z")

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Two separate issues. The omnibus bill was (thankfully past tense) a pork-laden bill to fund the government, I believe through Otober 2011. It appears as though its replacement will provide basic funding, but only through February 2011 at which time the new congress will address.

The “tax cut” bill simply extends the current federal income tax rates for another two years.

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**Author:** ![Ravenman](https://sea3.discourse-cdn.com/straightdope/user_avatar/boards.straightdope.com/ravenman/32/2929_2.png) [@Ravenman](https://boards.straightdope.com/u/Ravenman)\
**Post date:** [December 17, 2010, 4:06pm UTC](https://boards.straightdope.com/t/omnibus-bill-and-tax-cuts/564508/3 "2010-12-17T16:06:30Z")

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> [@SanDiegoTim](#):
>
> The omnibus bill was (thankfully past tense) a pork-laden bill to fund the government, I believe through Otober 2011.

To be clear, the amount of earmarks in the $1.1 trillion bill was about $8 billion. For every $100 of spending proposed by the executive branch, Congress would have redirected 72 cents to its own priorities. The term “laden” could be misleading.

> [@](#):
>
> The “tax cut” bill simply extends the current federal income tax rates for another two years.

It does considerably more than that.

[http://www.washingtonpost.com/wp-srv/special/business/tax-cut-compromise/index.html](http://www.washingtonpost.com/wp-srv/special/business/tax-cut-compromise/index.html)

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<div class="post-metadata">

**Author:** ![Pierrot\_Le\_Fou](https://avatars.discourse-cdn.com/v4/letter/p/f475e1/32.png) [@Pierrot\_Le\_Fou](https://boards.straightdope.com/u/Pierrot_Le_Fou)\
**Post date:** [December 17, 2010, 4:07pm UTC](https://boards.straightdope.com/t/omnibus-bill-and-tax-cuts/564508/4 "2010-12-17T16:07:54Z")

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> [@SanDiegoTim](#):
>
> Two separate issues. The omnibus bill was (thankfully past tense) a pork-laden bill to fund the government, I believe through Otobe  
> r 2011. It appears as though its replacement will provide basic funding, but only through February 2011 at which time the new congress will address.
> 
> The “tax cut” bill simply extends the current federal income tax rates for another two years.

Is the unemployment extension in the omnibus bill, the tax bill, or something else? Is everything that was a part of tax-cut deal in the tax bill?

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<div class="post-metadata">

**Author:** ![SanDiegoTim](https://avatars.discourse-cdn.com/v4/letter/s/85e7bf/32.png) [@SanDiegoTim](https://boards.straightdope.com/u/SanDiegoTim)\
**Post date:** [December 17, 2010, 4:17pm UTC](https://boards.straightdope.com/t/omnibus-bill-and-tax-cuts/564508/5 "2010-12-17T16:17:39Z")

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“Is the unemployment extension in the omnibus bill, the tax bill, or something else? Is everything that was a part of tax-cut deal in the tax bill?”

Tax bill.

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**Author:** ![Duckster](https://sea3.discourse-cdn.com/straightdope/user_avatar/boards.straightdope.com/duckster/32/1244_2.png) [@Duckster](https://boards.straightdope.com/u/Duckster)\
**Post date:** [December 17, 2010, 6:47pm UTC](https://boards.straightdope.com/t/omnibus-bill-and-tax-cuts/564508/6 "2010-12-17T18:47:07Z")

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> [@SanDiegoTim](#):
>
> Two separate issues. The omnibus bill was (thankfully past tense) a pork-laden bill to fund the government, I believe through Otober 2011. It appears as though its replacement will provide basic funding, but only through February 2011 at which time the new congress will address.

Yes, two separate issues.

Congress passed an extension of tax cuts, extension of unemployment benefits, and a cut in social security tax.

> [@](#):
>
> **Washington (CNN)** – President Barack Obama plans to sign an $858 billion tax deal into law on Friday afternoon.
> 
> The House of Representatives gave final approval late Thursday night to the deal, negotiated by the White House and top Senate Republicans. The final vote of 277-148 had almost equal numbers of Democrats and Republicans in support.
> 
> The package includes a two-year extension of the Bush-era tax cuts set to expire December 31. It also would extend unemployment benefits for 13 months, cut the payroll tax by 2 percentage points for a year, restore the estate tax at a lower level and continue a series of other tax breaks.

> **[Obama signs tax deal into law](https://www.cnn.com/2010/POLITICS/12/17/tax.deal/index.html?hpt=T2)**
>
> President Barack Obama signed an $858 billion tax bill into law Friday, saying, "this is progress, and that's what (the American people) sent us here to achieve."

However, **Congress did not pass the omibus legislation** to fund government programs through 30 September 2011.

> [@](#):
>
> **Washington (CNN)** – In a dramatic twist played out on the floor of the Senate, Majority Leader Harry Reid conceded Thursday night he lacked the votes to bring up a $1.1 trillion spending bill designed to fund the federal government for the rest of the current fiscal year.
> 
> Reid, D-Nevada, accused Republicans of withdrawing previously pledged support for the bill, and said he would work with the Senate Republican leader to draft a short-term spending measure that would keep the government running beyond Saturday, when the current spending authorization resolution expires.

[Senate Democrats give up bid to pass $1.1 trillion spending bill - CNN.com](http://www.cnn.com/2010/POLITICS/12/16/government.spending/index.html?hpt=Sbin)

Congress must now pass a continuing resolution (CR) by Saturday to keep the government operating (at FY2010 levels), or pass the full bill.

This adds to the political drama. Congress could pass a short-term CR and require the current Congress to vote again before they adjourn in early January. Or they could pass the full bill and fund the government through the fiscal year. The Democrats would prefer the latter option. But if the vote by Saturday is only a CR, with it be short-term, or longer? The critical issue (for the Dems) is that any failure to complete full funding prior to the new Congress means the new Republican House beginning in January could throw the entire budget into a tizzy.
