The U-S Senate is racing to avert an increase in the nation’s payroll taxes.
Payroll taxes were cut last year, and would revert to previous rates if action isn’t taken by the end of this month.
That rate would return to six-point-two percent and Senator Carl Levin of Michigan said that would cost middle-class families upwards of a thousand dollars per year.
He wants congress to extend the tax cuts, and pay for the extension with a surcharge on people making more than a million dollars per year.
“It’s really unthinkable that you would raise taxes on 160 million families in order to protect a few hundred thousand families who make more than a million dollars a year.”
Levin said failure to extend the payroll tax cut could push the country back into recession.
The senate is hoping to move the legislation by the end of this week.
Copyright 2010, MPRN