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Angie Drobnic Holan
By Angie Drobnic Holan January 18, 2009
Back to Extend unemployment insurance benefits and temporarily suspend taxes on these benefits

Extensions in stimulus bill

The House of Representatives Appropriations Committee released its plans for a major stimulus bill on Jan. 19, 2009, and they included a sizable extension of unemployment benefits. The plan would send $27 billion to the program, which gives weekly cash payments to laid-off workers. That money should cover up to 33 weeks of payments through 2009, according to the report.

But the House Ways and Means Committee, which released the tax portion of the stimulus plan, does not include a provision to make those benefits tax-free.

If the benefits get extended but are still taxed, this promise might be headed toward a rating of Compromise. Meanwhile, it's enough progress that we rate it In the Works.

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