Chris Brown Returns To Twitter, Instragrams Photo Of Scantily Clad Rihanna












Breezy’s back with a bang.


Chris Brown has returned to Twitter, after deleting his account last Sunday following an expletive-laced online fight with comedian Jenny Johnson.












PLAY IT NOW: Rihanna Discusses Her Fashion Sense & Tattoos


While the “Don’t Wake Me Up” singer still boasts 7.7 million followers, he has yet to grace the Twittersphere with a post since reactivating his account on Saturday.


However, the 23-year-old has been active on his Instragram account (with a handle we can’t repeat – you’ve been warned!), posting a photo of himself smoking, while a scantily clad Rihanna lays next to him with the caption, “What would music today sound like if these kids didn’t exist?”


VIEW THE PHOTOS: Rihanna: Burning Up The Stage!


Rihanna hasn’t been shy about sharing photos of Chris either.


In the last week she’s posted multiple photos of her seemingly-on-again beau – one with Chris lying shirtless on a bed, as well as a shot of her hugging the singer with the caption, “I don’t wanna leave! Killed it tonight baby!!!”


Copyright 2012 by NBC Universal, Inc. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.


VIEW THE PHOTOS: Chris Brown


Social Media News Headlines – Yahoo! News


Read More..

Katzenberg, Spielberg attend Governors Awards












LOS ANGELES (AP) — Stars such as Steven Spielberg and George Lucas are arriving at the Hollywood and Highland Center in Los Angeles to pay homage to four industry heavyweights.


The film academy’s fourth annual Governors Awards are being presented Saturday to honorary Oscar winners Jeffrey Katzenberg, stuntman Hal Needham, documentarian D.A. Pennebaker and American Film Institute founding director George Stevens Jr.












The four men will accept their Oscar statuettes during the Academy of Motion Picture Arts and Sciences‘ private dinner program in the Ray Dolby Ballroom. Portions of the untelevised event may be included in the Feb. 24 Academy Awards telecast.


Other guests expected at Saturday’s ceremony include Quentin Tarantino, Bradley Cooper, Kristen Stewart, Bryan Cranston and Oscar host Seth MacFarlane.


Entertainment News Headlines – Yahoo! News


Read More..

Cars trapped in tunnel collapse outside Tokyo

TOKYO (AP) — Parts of a tunnel collapsed Sunday on a highway west of Tokyo, trapping an unknown number of vehicles as smoke from a fire inside initially prevented rescuers from approaching.

Video footage from cameras inside the tunnel, after the fire was apparently extinguished, showed firefighters picking their way through cement roof panels that collapsed onto vehicles inside the Sasago Tunnel, about 50 miles (80 kilometers) outside the city.

About 25 vehicles were inside the (2.5 mile) 4.3 kilometer-long tunnel, some of them trucks stopped by the tunnel's collapse.

Police spokesman Yoshihiro Fukutani said they were still seeking details about the situation inside the tunnel.

Police vehicles, fire trucks and ambulances were massed outside the tunnel's entrance. A man who said he saw the collapse and alerted authorities to the emergency told NHK television he managed to escape after he was ordered to flee. The roof and windows of another vehicle parked on the roadside outside the tunnel were crushed, and the injured occupants reportedly taken to a hospital.

Read More..

Egypt’s Mursi calls referendum as Islamists march












CAIRO (Reuters) – Egypt‘s President Mohamed Mursi called a December 15 referendum on a draft constitution on Saturday as at least 200,000 Islamists demonstrated in Cairo to back him after opposition fury over his newly expanded powers.


Speaking after receiving the final draft of the constitution from the Islamist-dominated assembly, Mursi urged a national dialogue as the country nears the end of the transition from Hosni Mubarak‘s rule.












“I renew my call for opening a serious national dialogue over the concerns of the nation, with all honesty and impartiality, to end the transitional period as soon as possible, in a way that guarantees the newly-born democracy,” Mursi said.


Mursi plunged Egypt into a new crisis last week when he gave himself extensive powers and put his decisions beyond judicial challenge, saying this was a temporary measure to speed Egypt’s democratic transition until the new constitution is in place.


His assertion of authority in a decree issued on November 22, a day after he won world praise for brokering a Gaza truce between Israel and the Palestinian Islamist Hamas movement, dismayed his opponents and widened divisions among Egypt’s 83 million people.


Two people have been killed and hundreds wounded in protests by disparate opposition forces drawn together and re-energized by a decree they see as a dictatorial power grab.


A demonstration in Cairo to back the president swelled through the afternoon, peaking in the early evening at least 200,000, said Reuters witnesses, basing their estimates on previous rallies in the capital. The authorities declined to give an estimate for the crowd size.


“The people want the implementation of God’s law,” chanted flag-waving demonstrators, many of them bussed in from the countryside, who choked streets leading to Cairo University, where Mursi’s Muslim Brotherhood had called the protest.


Tens of thousands of Egyptians had protested against Mursi on Friday. “The people want to bring down the regime,” they chanted in Cairo‘s Tahrir Square, echoing the trademark slogan of the revolts against Hosni Mubarak and Arab leaders elsewhere.


Rival demonstrators threw stones after dark in the northern city of Alexandria and a town in the Nile Delta. Similar clashes erupted again briefly in Alexandria on Saturday, state TV said.


“COMPLETE DEFEAT”


Mohamed Noshi, 23, a pharmacist from Mansoura, north of Cairo, said he had joined the rally in Cairo to support Mursi and his decree. “Those in Tahrir don’t represent everyone. Most people support Mursi and aren’t against the decree,” he said.


Mohamed Ibrahim, a hardline Salafi Islamist scholar and a member of the constituent assembly, said secular-minded Egyptians had been in a losing battle from the start.


“They will be sure of complete popular defeat today in a mass Egyptian protest that says ‘no to the conspiratorial minority, no to destructive directions and yes for stability and sharia (Islamic law)’,” he told Reuters.


Mursi has alienated many of the judges who must supervise the referendum. His decree nullified the ability of the courts, many of them staffed by Mubarak-era appointees, to strike down his measures, although says he respects judicial independence.


A source at the presidency said Mursi might rely on the minority of judges who support him to supervise the vote.


“Oh Mursi, go ahead and cleanse the judiciary, we are behind you,” shouted Islamist demonstrators in Cairo.


Mursi, once a senior Muslim Brotherhood figure, has put his liberal, leftist, Christian and other opponents in a bind. If they boycott the referendum, the constitution would pass anyway.


If they secured a “no” vote to defeat the draft, the president could retain the powers he has unilaterally assumed.


And Egypt’s quest to replace the basic law that underpinned Mubarak’s 30 years of army-backed one-man rule would also return to square one, creating more uncertainty in a nation in dire economic straits and seeking a $ 4.8 billion loan from the IMF.


“NO PLACE FOR DICTATORSHIP”


Mursi’s well-organized Muslim Brotherhood and its ultra-orthodox Salafi allies, however, are convinced they can win the referendum by mobilizing their own supporters and the millions of Egyptians weary of political turmoil and disruption.


“There is no place for dictatorship,” the president said on Thursday while the constituent assembly was still voting on a draft constitution which Islamists say enshrines Egypt’s new freedoms.


Human rights groups have voiced misgivings, especially about articles related to women’s rights and freedom of speech.


The text limits the president to two four-year terms, requires him to secure parliamentary approval for his choice of prime minister, and introduces a degree of civilian oversight over the military – though not enough for critics.


The draft constitution also contains vague, Islamist-flavored language that its opponents say could be used to whittle away human rights and stifle criticism.


For example, it forbids blasphemy and “insults to any person”, does not explicitly uphold women’s rights and demands respect for “religion, traditions and family values”.


The draft injects new Islamic references into Egypt’s system of government but retains the previous constitution’s reference to “the principles of sharia” as the main source of legislation.


“We fundamentally reject the referendum and constituent assembly because the assembly does not represent all sections of society,” said Sayed el-Erian, 43, a protester in Tahrir and member of a party set up by opposition figure Mohamed ElBaradei.


Several independent newspapers said they would not publish on Tuesday in protest. One of the papers also said three private satellite channels would halt broadcasts on Wednesday.


Egypt cannot hold a new parliamentary election until a new constitution is passed. The country has been without an elected legislature since the Supreme Constitutional Court ordered the dissolution of the Islamist-dominated lower house in June.


The court is due to meet on Sunday to discuss the legality of parliament’s upper house.


“We want stability. Every time, the constitutional court tears down institutions we elect,” said Yasser Taha, a 30-year-old demonstrator at the Islamist rally in Cairo.


(Additional reporting by Marwa Awad, Yasmine Saleh and Tom Perry; Editing by Myra MacDonald and Jason Webb)


World News Headlines – Yahoo! News


Read More..

Asperger’s dropped from revised diagnosis manual












CHICAGO (AP) — The now familiar term “Asperger‘s disorder” is being dropped. And abnormally bad and frequent temper tantrums will be given a scientific-sounding diagnosis called DMDD. But “dyslexia” and other learning disorders remain.


The revisions come in the first major rewrite in nearly 20 years of the diagnostic guide used by the nation’s psychiatrists. Changes were approved Saturday.












Full details of all the revisions will come next May when the American Psychiatric Association‘s new diagnostic manual is published, but the impact will be huge, affecting millions of children and adults worldwide. The manual also is important for the insurance industry in deciding what treatment to pay for, and it helps schools decide how to allot special education.


This diagnostic guide “defines what constellations of symptoms” doctors recognize as mental disorders, said Dr. Mark Olfson, a Columbia University psychiatry professor. More important, he said, it “shapes who will receive what treatment. Even seemingly subtle changes to the criteria can have substantial effects on patterns of care.”


Olfson was not involved in the revision process. The changes were approved Saturday in suburban Washington, D.C., by the psychiatric association’s board of trustees.


The aim is not to expand the number of people diagnosed with mental illness, but to ensure that affected children and adults are more accurately diagnosed so they can get the most appropriate treatment, said Dr. David Kupfer. He chaired the task force in charge of revising the manual and is a psychiatry professor at the University of Pittsburgh.


One of the most hotly argued changes was how to define the various ranges of autism. Some advocates opposed the idea of dropping the specific diagnosis for Asperger’s disorder. People with that disorder often have high intelligence and vast knowledge on narrow subjects but lack social skills. Some who have the condition embrace their quirkiness and vow to continue to use the label.


And some Asperger’s families opposed any change, fearing their kids would lose a diagnosis and no longer be eligible for special services.


But the revision will not affect their education services, experts say.


The new manual adds the term “autism spectrum disorder,” which already is used by many experts in the field. Asperger’s disorder will be dropped and incorporated under that umbrella diagnosis. The new category will include kids with severe autism, who often don’t talk or interact, as well as those with milder forms.


Kelli Gibson of Battle Creek, Mich., who has four sons with various forms of autism, said Saturday she welcomes the change. Her boys all had different labels in the old diagnostic manual, including a 14-year-old with Asperger’s.


“To give it separate names never made sense to me,” Gibson said. “To me, my children all had autism.”


Three of her boys receive special education services in public school; the fourth is enrolled in a school for disabled children. The new autism diagnosis won’t affect those services, Gibson said. She also has a 3-year-old daughter without autism.


People with dyslexia also were closely watching for the new updated doctors’ guide. Many with the reading disorder did not want their diagnosis to be dropped. And it won’t be. Instead, the new manual will have a broader learning disorder category to cover several conditions including dyslexia, which causes difficulty understanding letters and recognizing written words.


The trustees on Saturday made the final decision on what proposals made the cut; recommendations came from experts in several work groups assigned to evaluate different mental illnesses.


The revised guidebook “represents a significant step forward for the field. It will improve our ability to accurately diagnose psychiatric disorders,” Dr. David Fassler, the group’s treasurer and a University of Vermont psychiatry professor, said after the vote.


The shorthand name for the new edition, the organization’s fifth revision of the Diagnostic and Statistical Manual, is DSM-5. Group leaders said specifics won’t be disclosed until the manual is published but they confirmed some changes. A 2000 edition of the manual made minor changes but the last major edition was published in 1994.


Olfson said the manual “seeks to capture the current state of knowledge of psychiatric disorders. Since 2000 … there have been important advances in our understanding of the nature of psychiatric disorders.”


Catherine Lord, an autism expert at Weill Cornell Medical College in New York who was on the psychiatric group’s autism task force, said anyone who met criteria for Asperger’s in the old manual would be included in the new diagnosis.


One reason for the change is that some states and school systems don’t provide services for children and adults with Asperger’s, or provide fewer services than those given an autism diagnosis, she said.


Autism researcher Geraldine Dawson, chief science officer for the advocacy group Autism Speaks, said small studies have suggested the new criteria will be effective. But she said it will be crucial to monitor so that children don’t lose services.


Other changes include:


—A new diagnosis for severe recurrent temper tantrums — disruptive mood dysregulation disorder. Critics say it will medicalize kids’ who have normal tantrums. Supporters say it will address concerns about too many kids being misdiagnosed with bipolar disorder and treated with powerful psychiatric drugs. Bipolar disorder involves sharp mood swings and affected children are sometimes very irritable or have explosive tantrums.


—Eliminating the term “gender identity disorder.” It has been used for children or adults who strongly believe that they were born the wrong gender. But many activists believe the condition isn’t a disorder and say calling it one is stigmatizing. The term would be replaced with “gender dysphoria,” which means emotional distress over one’s gender. Supporters equated the change with removing homosexuality as a mental illness in the diagnostic manual, which happened decades ago.


___


AP Medical Writer Lindsey Tanner can be reached at http://www.twitter.com/LindseyTanner .


Medications/Drugs News Headlines – Yahoo! News


Read More..

Microsoft updates Android Xbox SmartGlass app for 7-inch tablets












While Nintendo (NTDOY) has chosen to create second-screen experiences with the new Wii U GamePad, Microsoft’s (MSFT) strategy for the Xbox 360 involves bringing your own devices (BYOD) with the Xbox SmartGlass app for Android, iOS, Windows Phone 8 and Windows 8. One of the more frustrating things initially about the Xbox SmartGlass app was that it wasn’t natively compatible with 7-inch Android tablets such as Google’s (GOOG) excellent Nexus 7, but Microsoft’s gone ahead and updated the app to take advantage of 7-inch Android tablets while squashing a batch of bugs at the same time. While still in its infancy, Xbox SmartGlass is a glimpse at the future of smartphones and tablet and how they connect to the TV. 


Last month, we said: “SmartGlass isn’t just a fancy touchscreen remote control app for the Xbox 360 — it’s much more than that. With the app, users can start a movie on any mobile device and resume on the Xbox 360 (and vice versa), monitor real-time sports stats, bios and highlights on a secondary display, navigate the newly added Internet Explorer with multitouch gestures such as pinch-to-zoom and enhance gameplay with new gameplay options.”












The new Xbox SmartGlass is available for free in Google Play Store here.


Get more from BGR.com: Follow us on Twitter, Facebook


Wireless News Headlines – Yahoo! News


Read More..

Dr. Dre ranks as Forbes’ highest-paid musician, at $100 million












LOS ANGELES (Reuters) – You may be singing “Call Me Maybe” or dancing “Gangnam Style” to this year’s music, but it was veteran hip-hop artist Dr. Dre who topped Forbes‘ list of the 25 highest-paid musicians in 2012, released on Thursday.


California native Dre, 47, became one of the leading names in hip-hop and rap in the early 1990s and has worked with artists including Eminem and Snoop Dogg.












Along with his extensive back catalog, Dre‘s lucrative headphones business, Beats by Dre, helped him gross $ 100 million in pre-tax earnings according to Forbes.


The list’s top 10 was dominated by veteran musicians, with Pink Floyd‘s bassist and singer Roger Waters coming in at No. 2 with earnings of $ 88 million from his lucrative The Wall Live tour, and British singer Elton John at No. 3 with $ 80 million.


Last year’s highest-paid musicians U2 landed at No. 4 this year with combined earnings of $ 78 million from their three-year 360 tour. 1990s British boy band Take That, who reformed in 2005, rounded out the top five with $ 69 million, earned from an eight-date tour at London’s Wembley Stadium, which became the highest-grossing single stadium tour to date.


Forbes compiles its annual highest-paid musicians list by estimating artists’ earnings from music sales, live shows, endorsements and merchandising. Earlier this year, Dutch DJ Tiesto was named the highest-paid DJ in the fast-growing electronic dance music industry.


The only two artists under 30 to break the top 10 were country-pop darling Taylor Swift, 22, who tied with ex-Beatle Paul McCartney at No. 8 with earnings of $ 57 million, and Canadian pop star Justin Bieber, 18, who tied with country star Toby Keith at No. 10 with earnings of $ 55 million.


Pop star and “X Factor” judge Britney Spears entered the list at No. 7 with earnings of $ 58 million, cementing her comeback after a turbulent few years. Her earnings encompass her multi-million dollar “X Factor” deal, music sales and endorsements.


Spears led eight female artists in the top 25 list, including R&B star Rihanna at No. 12 with $ 53 million, coming ahead of Lady Gaga at No. 13 with $ 52 million. Grammy-winning British singer Adele notched No. 22 on the list, tied with Kanye West, with earnings of $ 35 million following a record year for her album “21.”


Music’s power couple, singer Beyonce and rapper Jay-Z, came in at No. 18 and No. 20, respectively, with earnings of $ 40 million and $ 38 million.


(Reporting By Piya Sinha-Roy; editing by Jill Serjeant and Leslie Adler)


Music News Headlines – Yahoo! News


Read More..

Why Obama is pushing for stimulus in 'fiscal cliff' deal

How about a little government economic stimulus?


That may sound incongruous considering the budget deficit and the push from Republicans to cut government spending.


But President Obama’s first offer to avoid going over the "fiscal cliff" holds out the hope of at least some stimulus. This would include extending the 2 percentage point Social Security payroll tax cut, boosting a tax incentive to businesses, establishing a $50 billion bank for long-term infrastructure projects, and extending unemployment benefits.


RECOMMENDED: 'Fiscal cliff' 101: 5 basic questions answered


The total bill: about $255 billion out of the federal government's pocket – an amount the GOP would likely say needs to be offset by spending cuts elsewhere.


The argument in favor of such stimulus? The tax measures, at least, could minimize the drag on the economy from Mr. Obama's proposed tax increases on the wealthy.


“The increases in the top two income tax brackets would put a drag on consumption, so I think, from the Obama point of view, the spending or tax cuts are designed to offset that drag to consumption,” says Michael Brown, an economist at Wells Fargo Securities in Charlotte, N.C.


But to some budget experts, Obama’s list seems more like an opening round of negotiations, where he has asked for a lot more than he will get.


“It looks to me like these are bargaining chips,” says Pete Davis of Davis Capital Ideas, which advises Wall Street firms. “Even most Democrats had given up on the prospect of getting the payroll tax cut extended.”


Mr. Davis considers the odds of most of the stimulus proposals passing Congress “very low.”


What's needed most, say others, is just buckling down and negotiating an end to the fiscal cliff. “Cancelling the fiscal cliff is economic stimulus,” says Stan Collender, a budget expert and partner at Qorvis Communications in Washington.


If Obama's stimulus were passed, however, here is a look at the impact the four elements might have.


SOCIAL SECURITY PAYROLL TAX CUT


The largest chunk of the Obama plan is the extension of the payroll tax cut. This is the money that comes out of an individual’s paycheck as a contribution to Social Security. Two years ago, in an effort to stimulate the economy, Congress decreased the individual contribution from 6.2 percent to 4.2 percent. The employer’s contribution of 6.2 percent remained unchanged.


The Obama administration estimates extending the cuts would cost the government as much as $115 billion in revenue.


The argument for extending the tax cut is that it helps lower-income workers who live paycheck to paycheck. “The difference in the paycheck might be the ability to pay the electric bill for someone or the chance to go to a sit-down restaurant once a month,” says Chris Christopher, an economist at IHS in Lexington, Mass.


The argument against continuing the cut is that it is weakening the Social Security Trust Fund. In order to make up for the loss of contributions, the government taps the general tax revenues, says Pamela Tainter-Causey, a spokeswoman for the National Committee to Preserve Social Security and Medicare.


“It sets up Social Security to compete for funding from the general fund,” she says. “It’s a perfect set up for people who are gunning for the program and claim we can’t afford it now.”


BUSINESS TAX INCENTIVE


The second largest program proposed by Obama would be the extension of accelerated depreciation for business, which would cost the US Treasury about $65 billion in fiscal year 2013, according to the Congressional Budget Office.


Two years ago, business was allowed to accelerate the write-off of 100 percent of its spending on certain capital equipment. Capital spending on equipment and computer software soared by 18.3 percent in 2011.


Then, this year, the benefit to business was cut in half to 50 percent. Capital spending sank in the third quarter by 2.7 percent compared with the same quarter the prior year. With business interest in using the tax break diminishing, economist Gregory Daco of IHS says “it’s a goner.”


INFRASTRUCTURE BANK


Obama has also proposed a $50 billion infrastructure bank. The idea is to fund roads, bridges, tunnels and other large projects that last for a long period of time. “At the moment the funding is done on a cash basis – you have to pay for it as you build it,” says Mr. Collender.


Democrats have been trying to get Congress to fund the bank for the past 10 years, he says. “It does not have a chance of getting through the House," which is controlled by the Republicans, says Mr. Collender.


UNEMPLOYMENT BENEFITS


And, finally, Obama wants to extend unemployment benefits, which would cost about $30 billion.


Under current law, if Congress does nothing, the maximum number of weeks in which an individual could receive jobless will drop to 26 from the current 73 weeks for states with unemployment over 9 percent and 63 weeks for states with unemployment over 7 percent.


If Congress does nothing about the program during the lame-duck session, some 2.1 million jobless will lose their benefits in the first week of January, says Judy Conti, a federal advocacy coordinator at the National Employment Law Project (NELP) in Washington. By the end of the March, she says, another 900,000 people will lose their benefits.


“Forty percent of the unemployed are long term unemployed,” she says. “They have been out of the workforce for over six months.”


RECOMMENDED: 'Fiscal cliff' 101: 5 basic questions answered



Related stories


Read this story at csmonitor.com


Become a part of the Monitor community


Read More..

Oliver Stone, Benicio del Toro visit Puerto Rico












SAN JUAN, Puerto Rico (AP) — Benicio Del Toro didn’t wait long to collect on a favor that Oliver Stone owed him for working extra hours on the set of his most recent movie, “Savages”, released this year.


The favor? A trip to Del Toro‘s native Puerto Rico, which Stone hadn’t visited since the early 1960s.












“I told him, you owe me one,” Del Toro said with a smile as he recalled the conversation during a press conference Friday in the U.S. territory, where he and Stone are helping raise money for one of the island’s largest art museums.


Del Toro, wearing jeans, a black jacket and a black T-shirt emblazoned with the name of local reggaeton singer Tego Calderon, waved to the press as he was introduced.


“Hello, greetings. Is this a press conference?” he quipped as he and Stone awaited questions.


Both men praised each other’s work, saying they would like to work with each other again.


“I deeply admire him as an actor, the way he thinks, the way he expresses himself,” Stone said. “Of all the actors I’ve worked with, he’s the most interesting.”


Stone said Del Toro always delivers surprises while acting, even when it’s as something as subtle as certain gestures between dialogue.


“I think Benicio is the master of keeping you watching,” he said.


Stone said he enjoys meeting up with Del Toro off-set because he’s one of the few actors in Hollywood who can talk about something other than movies.


“He is very interested in the world around him,” Stone said, adding that the conversations sometimes center around politics and other topics.


Del Toro declined to answer when asked what he thought about Puerto Rico’s referendum earlier this month, which aimed to determine the future of the island’s political status. He said the results did not seem to point to a clear-cut outcome.


Del Toro then said he would like the island’s movie business to grow, especially in a way that would encourage learning.


“I’m talking about movies in an educational sense, as a way to discover other parts of the world,” he said. “Create a film class. You’ll see, kids won’t skip it.”


Del Toro also shared his thoughts on being a father after having a daughter with Kimberly Stewart in August 2011.


He said the girl is learning how to swim and is discovering the world around her.


“She has her own personality,” Del Toro said. “She’s not her mother. She’s not me.”


Both Del Toro and Stone are expected to remain in Puerto Rico through the weekend to raise money for the Art Museum of Puerto Rico, which is hosting its annual movie festival and will honor Stone’s movies.


Museum curator Juan Carlos Lopez Quintero said the money raised will be used to enhance the museum’s permanent collection, especially with Puerto Rican paintings from the 19th century and early 20th century.


Latin America News Headlines – Yahoo! News


Read More..

Obama aides seek to counter Republican charges on ‘fiscal cliff’












WASHINGTON (Reuters) – The Obama administration sought to counter Republican charges on Friday that President Barack Obama‘s plan to avoid a year-end “fiscal cliff” is light on spending cuts and too reliant on tax increases.


Administration officials said the overall plan, offered to Republicans on Thursday and quickly rejected by them, would achieve $ 4.5 trillion in savings to the government. This includes around $ 1 trillion in cuts already enacted into law and would set up an “expedited process” to spirit through Congress some of the most comprehensive legislation in decades.












The plan, which Treasury Secretary Timothy Geithner outlined to Republican congressional leaders, is aimed at taking a big step toward comprehensive reform of the U.S. tax code and overhauling federal programs like Medicare by next August 1, according to a summary provided by administration officials.


The fate of the administration proposals is uncertain, as they are now part of a mix of offerings to be hashed out over the next few weeks and beyond, aimed at heading off a package of automatic tax increases and spending cuts that would tip the U.S. economy over the fiscal cliff and back into recession.


Senate Minority Leader Mitch McConnell outlined his ideas for cutting entitlement programs in a Wall Street Journal interview Friday, while House Republicans said talks had basically arrived at a stalemate at this juncture.


The administration’s proposals for next year, when combined with some immediate savings such as taxing the rich at a higher rate, would raise approximately $ 1.5 trillion in new revenues. Those would be coupled with about $ 2.4 trillion in spending cuts, according to the officials who asked not to be identified.


Some of those proposed spending cuts are controversial. For example, they count $ 800 billion in savings from the wars in Iraq and Afghanistan that are winding down. Many Republicans in Congress argue that sound budgeting should not allow for counting savings on money that was not going to be spent.


The war savings were part of previous deficit-reduction negotiations that failed in 2011.


TWO-STEP APPROACH


Administration officials disclosed details of the White House proposal in an effort to push back against Republicans’ characterization of it as not serious.


Without a deal, around $ 600 billion in steep tax increases and spending cuts would begin in January, forcing the economy into a recession, according to the Congressional Budget Office.


As expected, the White House proposal called for a two-step approach to deficit reduction.


The first step would mainly consist of letting income tax rates rise on families with net incomes above $ 250,000. The revenues generated would help replace the steep, automatic spending cuts to domestic programs due to kick in on January 2 if Congress and the president cannot reach a compromise.


Also included are the extension of expiring major tax breaks, such as the research and development credit.


A second deficit-reduction step, which both Republicans and Democrats have talked about at length, would give Congress time to revamp the complicated U.S. tax code and figure out how to slow the rapid growth of federal healthcare programs for the elderly and poor.


Under the scenario laid out by Geithner, the new tax provisions would become effective on January 1, 2014, according to administration officials, and are anticipated to bring in an additional $ 600 billion in revenues over 10 years, beyond the $ 950 billion from raising taxes on the rich.


Meanwhile, federal spending would be cut by $ 350 billion over 10 years by reforming Medicare and other unspecified health programs, the officials said. Savings of another $ 250 billion would be achieved by cutting subsidies to farmers and other actions.


Also tucked into the proposal, the officials said, were $ 200 billion in “economic growth initiatives” designed to help stimulate the sluggish economy.


This would include $ 50 billion in infrastructure spending, an extension of payroll tax cuts, extending unemployment benefits and funding for a mortgage refinancing program.


(Additional reporting by Richard Cowan; editing by Fred Barbash and Todd Eastham)


Seniors/Aging News Headlines – Yahoo! News


Read More..