Unveils the Price Tag Senate tax bill (Wall Street Journal)

WASHINGTON, the Senate has unveiled the latest details of a large tax bill — and its 10 years of 858 billion price tag — and began to debate Thursday evening on the packaging, an important step after two years of impasse on how to deal with expiring tax adopted Cup under former President George w. Bush. Without action, almost all u.s. income taxes are due to increase on January 1.

The Senate has evolved rapidly after Mr. Obama and Republican leaders unveiled package Monday, by a vote of tests now scheduled for Monday. The Bill is expected to increase with the support of most of the Republicans in the Senate and a large number of Democrats, after lawmakers have agreed to extend the expiry of the subsidies for ethanol and other alternative energy sources. Supporters now include Senate majority leader Harry Reid, d., Nev.), which was adopted on Bill for taxpayers to higher income tax cuts support.

House Democrats continued opposition of the tax agreement between the White House and Republicans Thursday voice and urged leaders not to agree to a formal vote. Jerry Seib later Washington

But the House, Democrats have been in open revolt. In a grievance session, they chanted "Just Say No," recovery ever outstanding policy prior to a non-binding resolution theatre which says that the tax agreement should not be considered home unless changes have been made.

This resolution is not perceived as a threat to the tax agreement, which includes an extension of two years of current taxes for all slices of income, not only for incomes up to $250,000 want Democrats. But essentially represented rebellion one vote "no confidence" in the White House on a crucial issue.

Anger have focused on the tax treatment of the richest Americans and the fact that the House democratic legislators have been frozen produce agreement negotiations. "This is not an acceptable package." We want a better deal, "said Peter DeFazio (d., Oregon) Rep. Chamber President Nancy Pelosi, d., California) has suggested that she did not want that kill Kit tax, any change. "We will continue discussions with the President and Democrats in the coming days, colleagues to improve the proposal before it on the floor of the House for a vote", she said in a written statement.

The rebellion among the Democrats in the House reflects more than opposition to legislation. He also showed the frustrations of a party bruised by the losses reported and heavy mid-term election that Mr. Obama can trigger significant within his party tries to work with a group of images newly empowered next year turbulence. "A number of us is very frustrated." It is finally time for us to constantly be spear-carriers here, said m. DeFazio. "It is time to tell the White House they are wrong". ". But House Democrats may have little to change the basic framework of the tax agreement.

Republicans generally support package, although several conservative GOP legislators say add too much to the deficit of the nation. Michael Steel, speaker of the House Republican leader John Boehner (r., Ohio), said: "President Obama said that lack of stopping all job-killing tax hikes planned for January 1 have serious implications for our economy." House Republicans agree. »

Obama associated press meets the Export Council as rebel democratic Chamber on taxes.

Tax provisions in the package will cost 801 billion over ten years, according to bipartisan Committee Joint Congress on taxation. 13 Months of benefits improved long-term unemployed extension adds $ 57 billion. Because Bill identifies any reductions in expenditure of the Federal Government, the total compensation, which is close to previous estimates will add the deficit.

By unveiling the Bill, the Senate added details's treatment of inheritance. The federal estate tax expired at the end of 2009 and is set to be reinstated from 2011 at a high rate of 55%, loaded on estates over $ 1 million. Legislation should renew the tax at a high rate of 35% on estates over $ 5 million. In the draft bill Thursday, $ 5 million would be indexed to inflation, it is a real value not retractable over time. House Democrats want to tax at a higher rate. Some are collecting signatures on a letter requesting the fee set at 45% for estates over $ 3.5 million.

In a sweetener many Democrats, package extends subsidies in cash for wind and solar projects, as well as the tax credits for energy efficient, although equipment at rate reduced, pre-stimulus program. It includes the favourable tax treatment of mass-transit benefits to employees. It also includes an extension of one year of a tax credit of 45-cent-a-gallon fuel ethanol, a provision sought by farm-state legislators.

Jim Manley, a spokesman for Mr. Reid, said House Democrats protest will have no impact on the progress of the Bill in the Senate. "This vote demonstrates that they are irrelevant to this process," said Mr. Manley. White House Press Secretary Robert Gibbs said he still believes that the agreement would pass this year without substantial changes.

-Jonathan Weisman and Patrick o ' Connor has contributed to this article.

Write toJanet Hook to Janet.Hook@dowjones.com