AP has already reported we are going over the cliff.
"A senior Republican Senate aide passes along the tax terms of the deal being worked out by Democrats and Republicans on Capitol Hill and the White House to avert the "fiscal cliff." These terms are "locked," says the source, between Senate Republicans and the White House:
· Permanent extension of current rates on income below $400k (singles) and $450k (married). · Permanent 15% rate on cap gains and dividends for income below $400k (single), $450k (married). · Permanent 20% capital gains & dividends for those above $400k (single), $450k (married). · Permanent death tax at $5M exemption but a 40% Rate (as of tomorrow, exemption would be on estates valued at $1m at a 55% rate) · Permanent AMT patch · One year extension of 50% Bonus Depreciation No changes to the already scheduled sequestration cuts have been "locked," I'm told.
That, to me, means that the GOP has completely caved. Not only do they give the Democrats everything they wanted, but the GOP is going to allow the defense budget to suffer what even Leon Panetta says is "disaster for the military."
This is going over the cliff - I don't care how they sell it.