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Payroll tax cut extension imminent?

December 16, 2011

The Wall Street Journal reports this morning that the Congresscritters are on the verge of a deal to extend the 2% cut in the employee portion of the Social Security tax (from 6.2% to 4.2%). The deal would also extend the reduction in the Self-employment Tax from 15.3% to 13.3% -- so don't be hasty about accelerating self-employment income into this year.

I see nothing yet on whether the deal will also extend 100% bonus depreciation or the $500,000 Section 179 deduction maximum one more year.

UPDATE, 12/18: Senate passes two-month extension of payroll tax cut.

More Coverage:

Tax.com
TaxGrrrl
Kay Bell

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