With a Fiscal Cliff Deadline Weeks Away Politicians Have Room for a Bargaining Impasse

“(Reuters) – Republicans in the U.S. Congress on Monday called on President Barack Obama to detail long-term spending cuts to help solve the country’s fiscal crisis, while holding firm against the income tax rate increases for the wealthy that Democrats seek.

The White House has been equally firm in its position, threatening to veto any bill that does not include the tax rate increases opposed by Republicans.

While Congress returned from its Thanksgiving holiday break amid increasing talk about long-term tax reform plans and a need to compromise, the two parties showed no signs yet of having found a way around the short-term tax obstacle necessary to head off the “fiscal cliff” on December 31, which would bring steep mandated tax-rate increases and spending cuts in the new year.

“We remain at an impasse,” Senate Republican Leader Mitch McConnell said during a floor speech.”

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