President Barack Obama and House Speaker John Boehner are getting gradually closer to a compromise on tax rate increases that would avoid the fiscal cliff.

On Monday, Obama responded to Boehner’s Sunday offer to compromise on tax rate increases with an offer of his own: a compromise on both tax increases and spending cuts. CNN reports how Obama’s newest offer brings the two sides “billions of dollars closer” to a deal that will help the nation avert the fiscal cliff.

The weekend saw Boehner concede ground on tax rate increases on household income over $1 million for the first time. Obama has consistently stated that he wants to see tax increases on household incomes over $250,000. However, in light of Boehner’s new proposal, the president has proffered a package which would raise rates on household income above $400,000.

Also included in Obama’s new offer was a concession on cuts to discretionary federal government spending; his original offer had included no such cuts, but Monday’s proposal sees cuts of $200 billion, split equally between defense and non-defense programs.

The Los Angeles Times reports how Obama and Boehner met face to face at the White House on Monday for 45 minutes. As this their third meeting in a little over a week, it’s clear that fiscal cliff negotiations are being sped up.

Indeed, that’s probably a wise move: Should the country fall over the fiscal cliff on January 1, voters can expect to see tax rise on all income levels while expansive spending cuts will kick in with the new year.

Do you expect Obama and Boehner to reach a successful compromise and avoid the fiscal cliff? Let us know in the comments.

Obama And Boehner Edge Closer To Compromise On Taxes is a post from: The Inquisitr