Second Stimulus Agreement Reached

But the uncertainty surrounding Senate control and the shocking losses of Democrats in the House of Representatives seem to have changed the equation. While Republicans and economic payers are concerned about the intense resurgence of the pandemic, the need to plan for vaccine distribution and a slowing economy, Pelosi may have decided that there would be no time like today for a short-term deal before Joe Biden can take office and offer more incentives as part of his government`s agenda. Trump`s request is unclear: Does the president still support the idea of stimulus plans? One possible complication is whether a second set of payments would overlap with the IRS`s preparations for the annual tax reporting season, which will generally begin at the end of January and will require significant Agency resources before programming and testing computer systems. Then came his abrupt end to the talks and their equally abrupt resumption. Again, it is not known why he turned the field around twice. His tweeted statements attacked the Democrats` positions, which his negotiators had already widely accepted. He further muddled the situation and alienated Republicans in the Senate by publicly saying he wanted a stimulus package even more expensive than Pelosi, without giving details. If an invoice that involves a direct payment passes, here`s how fast we think the IRS could send a second stimulus check. While Trump promised to bring conservatives to the Senate as soon as a deal was struck down, there were doubts about his willingness and ability to do so, especially now that he is a lame president. Many Republicans (as they think of Trump`s efforts to reverse his defeat on the courts and legislative states) seem to be focusing more on saving control of the Senate in two Georgia by-elections in January. After the election, Senate Majority Leader Mitch McConnell appeared to seize the business negotiations on behalf of the Republicans, although Mnuchin suddenly reappeared on December 8 with a new “offer” on behalf of the president, including a second direct stimulus of $600, half the level of the first cheque. Pelosi has always opposed stimulus measures, but the all-party group, whose proposal he accepted, also promotes a version that contains no state support, local aid or a shield of responsibility.

And Democrats say they have given indirect aid to the states and will fight for more next year. Those who advance the Senate`s new compromise proposal will have a short period of time to promote it, probably in conjunction with measures on federal funds that expire on December 11. If he (or the smallest package McConnell proposes) he can get the support of Democrats in the House of Representatives, it could be implemented quickly. But if that`s the case, it will reduce any momentum for a robust package in the new Congress, which will include a second cyclical review, unless the pandemic or economy worsens. Mnuchin`s proposal last week provided $600 in incentives for each qualified adult and dependent child, a $1,200 decrease in the CARES Act for adults and an increase of $500 per qualified dependent. It is not yet clear whether the final proposal will follow this proposal. A proposal to help coronavirus before January 1 is seen as an emergency law to put in place a safety net for expiring benefits, which could leave tens of millions of Americans without income and millions of households before the evacuation.