Tuesday, January 1, 2013

Senate approves 'fiscal cliff' deal, crisis eased

Reid departs with an aide after a senate vote in the early morning hours from the U.S. Capitol in WashingtonWASHINGTON (Reuters) - The Senate moved the U.S. economy back from the edge of a "fiscal cliff" on Tuesday, voting to avoid imminent tax hikes and spending cuts in a bipartisan deal that could still face stiff challenges in the House of Representatives. In a rare New Year's session at around 2 a.m. EST (0700 GMT), senators voted 89-8 to raise some taxes on the wealthy while making permanent low tax rates on the middle class that have been in place for a decade. But the measure did little to rein in huge annual budget deficits that have helped push the U.S. debt to $16.4 trillion. ...


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