House Republicans have come full circle from the days of the payroll tax cut fight, when they decried the uncertainty created by temporary benefits and lambasted Democrats for serially picking winners and losers.
In the spirit of election year, they are pushing a significant, unpaid for, one-year tax deduction aimed at entrepreneurs classified as small businesses.
According to House Majority Leader Eric Cantor, who briefed reporters about the legislation today, the one year cost of the cut is estimated at $45.9 billion. It will apply to businesses fewer than 500 employees, which includes both traditional small businesses, but also wealthy self-employed people and certain kinds of large corporations.
Those businesses would still be eligible for the tax cut but the benefit would be capped.
The legislation has little chance of becoming law, but a House vote on the issue could prove politically alluring enough to attract some Democratic support.
