Pelosi Criticizes Obama Tax Deal, Says Democrat Reaction Has Not Been Good

U.S. House Speaker Nancy Pelosi criticized the administration’s tax agreement with Republicans, calling the proposed estate tax changes “a bridge too far.”

The California Democrat, speaking to reporters at the Capitol, said the estate tax proposal -- which would set the exemption at $5 million and the top rate at 35 percent for two years -- wouldn’t create jobs.

Pelosi and the House Democratic caucus will discuss tonight the agreement that President Barack Obama announced with Republican congressional leaders yesterday. She said that so far, the Democratic response to the deal “has not been very good.”

The agreement extends all expiring tax rates for two years. It also includes a 2 percentage point cut in the payroll tax for 2011, an extension of unemployment insurance through 2011 and extensions of expired business tax proposals.

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