Senate Passes First Budget in 4 Years, 50-49
Calls for $975B in new taxes over decade
By Newser Editors and Wire Services
Posted Mar 23, 2013 5:27 AM CDT
Senate Majority Leader Harry Reid, D-Nev., in a file photo.   (AP Photo/Cliff Owen, File)

(Newser) – The Senate gave pre-dawn approval today to a $3.7 trillion budget for next year that embraces nearly $1 trillion in tax increases over the coming decade but shelters domestic programs targeted for cuts by Republicans in the House. It's the first budget the Democratic-run Senate has approved in four years, and it just barely did so—by a 50-49 margin. The vote came after lawmakers labored through the night on scores of symbolic amendments, ranging from voicing support for letting states collect taxes on Internet sales to expressing opposition to requiring photo identification for voters.

The Senate's budget would shrink annual federal shortfalls over the next decade to nearly $400 billion, raise unspecified taxes by $975 billion, and cull modest savings from domestic programs. In contrast, a rival budget approved by the House balances the budget within 10 years without boosting taxes. Obama plans to release his own 2014 budget next month, an unveiling that will be studied for whether it signals a willingness to engage Republicans in negotiations or play political hardball. The Democratic budget's $975 billion in new taxes would be matched by an equal amount of spending reductions coming chiefly from health programs, defense, and reduced interest payments as deficits get smaller than previously anticipated.

Copyright 2016 Newser, LLC. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed. AP contributed to this report.

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Showing 3 of 72 comments
westside
Mar 25, 2013 9:11 PM CDT
Blind leading the blind...
clmsman
Mar 25, 2013 10:45 AM CDT
Once again they grease us up and drive it home. Tax revenue to a Democrats is like crack to addict they can't help themselves they need treatment. How can a country with so many talented people have such a concentration of dumb people in the ruling class. People that most could not balance a checkbook making trillion dollar decisions. I swear Harry Reid is by the far the most least dynamic leader in the history a guy who everytime he gets in front of a mic you swear CSI is going to draw a chaulk line around him!
milo7453
Mar 23, 2013 9:38 PM CDT
off topic a bit but amuzing: How Much Tax Will You Owe On A $320 Million Powerball Jackpot? A Lot More Than In 2012! -If you want your money in a lump sum now you’ll get only $198.3 million (or a little more, assuming the $320 million jackpot grows before tonight’s drawing, as is expected.) -Should a resident of one of the seven states with no state income tax, the sole winner, he or she will fork over almost $78.5 million to Uncle Sam—$9 million more than last year. -if a New York City resident wins the jackpot, he or she will end up paying at a top 48.5% combined federal, state and city rate, up from 43.3% last year. In other words, the tax men will be taking $96 million of the pot, $10 million more than last year. I guess the Rich are paying more than their fairshare? Big winner (s)--NJ, uncle sam, and the ticket purchaser...lol