Answer: When it’s in Congress, where an increasing number of purely symbolic votes are expected this election year as a divided Congress tries to make points with voters.

“Both sides do it,” said Republican campaign strategist Ron Bonjean. “It’s called message voting.”

Message voting is criticized by all sides, yet both Republicans and Democrats regularly use the tactic to drive home points to voters and offer fodder for campaign attack ads.

With gridlock expected this year on Capitol Hill – as last year – and a November election looming, the frequency of message voting is expected to rise, congressional aides and Hill experts say. The votes are often closely timed to public opinion polls showing voter sentiments on an issue.

“What you do is manipulate the legislative process with an eye toward generating content for commercials during the heat of a campaign,” said Phil Singer, a Democratic strategist.

For example, Senate Democratic Leader Harry Reid plans to force votes on bills calling for job creation and the rebuilding of roads and bridges, all funded with tax hikes on the rich.

Sure, Democrats know Republicans will block the measures. Yet Democrats figure the action will demonstrate that Republicans are more interested in protecting the wealthy than helping the middle class and poor.

With polls showing most Americans favor higher taxes for the rich, Democrats also hope the votes will bolster President Barack Obama’s claim that Republicans are obstructionists who are to blame for a do-nothing Congress.

On the other side of the Capitol, House Speaker John Boehner, the top U.S. Republican, will be busy with his own message votes to cast Democrats as the problem.

Boehner intends to force votes on Obama’s energy, regulatory and job policies to showcase rising gasoline prices and a stubbornly high unemployment rate.

House Republicans had a message vote this month to support the Keystone pipeline project, rejected by Obama as an environmental threat.

Republicans argue the project, which would transport oil from Canada to U.S. facilities in Texas, would create thousands of jobs and bolster energy independence.

Craig Holman of Congress Watch, a nonpartisan watchdog group, said: “It’s a sorry state of affairs when both sides realize that working together and compromise have completely fallen apart and about the only thing left is ‘message voting.’”

Yet, Holman added, perhaps such voting will help shake up Congress and break the gridlock. “So message away,” he said.

It’s unclear if message votes and ad campaigns built around them have much effect on voters. At worst they could backfire and stoke public frustration with lawmakers in Washington who are frequently perceived as caring more about partisan gamesmanship than solving the country’s problems.

HEALTHCARE REPEAL

The administration’s health care plan is certain to generate message voting as Republicans try to keep focus on it in 2012.

The Republican campaign committee has already targeted some Democrats with Internet ads featuring a gathering storm as the narrator talks about “a cloud over our economy” created by what critics call “Obamacare.”

Both sides accuse the other of self-serving “message votes,” while insisting they are driven by policy, not politics.

Some critics call message voting a waste of time; others say it is just part of the slow-moving democratic process.

No one tallies the number of message votes each session, but overall, less than 3 percent of bills introduced become law. America’s founding fathers intentionally made it difficult to pass legislation to pressure lawmakers to deliberate and compromise.

Some message votes consume only a few hours. Others may take days before members agree on the rules for considering the measure or the timing of the roll call vote.

Last month, Senate Republican Leader Mitch McConnell, who routinely blocks Democratic bills with procedural roadblocks, criticized message voting led by Democrats as a distraction.

“Americans want a government that’s simpler, streamlined, and secure,” he said on the Senate floor. “But we won’t be able to achieve these things if Democrats refuse to try, if they’ve decided to spend the next year on show votes and legislation that’s designed for bus tours instead of bill signings.”

Democrats on the House side snapped back at Republicans for orchestrating a symbolic vote to cut the U.S. deficit by extending a two-year pay freeze for federal workers.

Republicans passed the bill, but only after tacking on a provision that also froze pay for U.S. lawmakers. Democrats either had to vote for it or been seen as backing a pay hike for themselves.

“Very clever,” scoffed House Minority Whip Steny Hoyer, the chamber’s No. 2 Democrat. “A very good 30-second ad.”

But federal workers shouldn’t fret.

The bill seems certain to die in the Senate where Democrats back Obama’s proposed cost-of-living increase for them.

In coming months, Republicans plan to vote to repeal Obama’s new rule requiring free birth control services for employees of religiously affiliated institutions.

Backers say the rule provides needed health care while critics charge it violates religious freedom, issues that can be the subject of attack ads for both sides.

Democrats also plan to force votes on legislation to require greater campaign finance disclosure. Republicans, who tend to get more money from big spenders, are expected to block it.

Republicans seeking to paint Democrats as fiscally reckless may turn into TV and radio spots votes on failed legislation to require a balanced federal budget.

“The point of these votes is to use them as ‘proof points’ in making an argument for or against a given candidate,” said Democratic strategist Singer.

“The trick with these votes is to try to tie them to what is going on in the news at any given moment,” Singer said.

If Mitt Romney wins the Republican presidential nomination, Democrats may quickly mark his victory with a message vote.

Aides say Democrats may rename Obama’s proposed “Buffett rule,” which would require millionaires to pay a tax rate of at least 30 percent, the “Romney rule.”

Buffett, an American billionaire investor, has urged Democrats to promote greater tax fairness.

Romney, like Buffett, has paid less than a 30 percent tax rate, and thus, a smaller rate than many middle-class Americans.

“We may have plenty of votes on the ‘Romney rule,’” a Democratic aide said. “We won’t call it messaging votes. We’ll call it good policy.”

(Reporting By Thomas Ferraro; Editing by Marilyn W. Thompson and Cynthia Osterman)

With his willingness to bargain, the speaker of the U.S. House of Representatives won passage on Friday of the economically important payroll tax-cut extension. But he lost a hefty block of Republicans who may end up determining his political fate.

Ninety-one Republicans broke ranks with Boehner and voted against the measure. Yet 146 other House Republicans and 147 Democrats voted for it.

Boehner, leaning on his bar room pragmatism, thanked fellow Republican leaders for helping “resolve this issue in a constructive fashion.”

For Republicans, no matter how they voted, the party can now get back to talking about what it wants to talk about – Obama’s failure to create lots of jobs – instead of fending off charges of having questioned a tax cut for the middle-class while defending tax cuts for the rich.

But some Republicans see a longer-term problem for the 62-year-old Boehner. Given all the uprisings he has had to quell within his ranks on major bills over the past year, they question his staying power.

“I think he’s got to be watching his flank,” a senior House Republican said. “Whenever you pass something using Democratic votes, as a speaker, that usually spells some problems.”

In years past, Republican speakers tried to pass legislation that a “majority of the majority” backed. Boehner has had no such luxury, given the fissures within his party and the unwillingness of many Tea Party activists to compromise.

Pressure on Boehner likely will intensify, the lawmaker said, if the party loses many seats in the November elections.

For now though, even some Tea Party activists who hate the idea of adding to deficits, showed flexibility and backed Boehner. Like the speaker, many of them acknowledged that this battle was threatening to hurt Republicans in the November 6 elections when control of Congress and the White House will be up for grabs.

But it will also raise by $100 billion the U.S. deficit that Republicans vowed to cut when they won control of the House in the 2010 elections with help from the anti-Washington Tea Party movement.

By providing the average American family an additional $1,000 this year, many believe that tax-cut extension will give a needed boost to the economy, which in turn, could help President Barack Obama win a second term.

“John Boehner could end up being blamed for helping Obama get re-elected,” said Greg Valliere of the Potomac Research Group, a private firm that tracks Washington for investors.

“But he did what he thought was right,” Valliere said. “This normally gridlocked Congress finally got something done today and I think John Boehner deserves a majority of the credit.”

‘ONLY GUY IN TOWN TRYING TO GET THINGS DONE’

Boehner, a former small businessman elected to Congress in 1990, made the bill possible this week when he dropped a demand that renewal of the payroll tax cut for 160 million U.S. workers be paid for with spending cuts to other federal program.

While many budget-cutting conservatives decried the move, a majority of House Republicans stood with their speaker, including 24 of 60 in the House Tea Party Caucus.

“I will vote for any measure that allow Americans to keep more of their own money,” said Representative Joe Walsh, a Tea Party favorite, who voted for the bill.

“I’m among those who yell at our speaker that we need to do more to cut the deficit,” Walsh said after Friday’s vote. “But he’s the only guy in town who’s actually trying to get things done.”

Republican Representative Joe Wilson, another Tea Party supporter, voted against the bill, saying: “We need to do more to cut the deficit. John Boehner will take some heat for this.”

Yet Wilson offered praise for Boehner – “he is a very bright guy” – for getting the bill through Congress and a “tough issue off the table for Republicans.”

People aligned with the conservative Tea Party movement have been critics of Boehner, yet it has lost favor with Americans since packing so much clout two years ago. A New York Times/CBS poll last August had found its disapproval rating at 43 percent, up from 18 percent in April 2010.

Chris Littleton, a Tea Party leader in Boehner’s district in Ohio, voiced disgust about the payroll tax-cut battle.

“This whole thing is ludicrous,” said Littleton. “No one in Washington is thinking long term about taxes, about Social Security, about the deficit. They are all wrong. They are little children playing with others toys.”

(Reporting By Thomas Ferraro; Editing by Mary Milliken and Stacey Joyce)

In two quick bipartisan votes, the House of Representatives
passed the measure 293-132, and minutes later the Senate passed
it 60-36.

The legislation now goes to Obama, who is expected to sign
it into law promptly.

But significant numbers of Republicans in both chambers
voted against the bill, laying bare deep divisions within the
party over an issue that they have struggled with for months and
threatening to hurt their 2012 electoral prospects.

The measure, while adding $100 billion to the already high
U.S. deficit, is aimed at further stimulating the economy at a
time it is showing some positive signs. A sustained recovery
would play well for Obama in his re-election bid in November.

The votes capped a fever-pitch debate in Congress that began
in earnest in November. Democrats argued the legislation would
help spur the economy and provide needed cash to struggling
middle class families and workers, and to those who have been
unable to find jobs amid an 8.3 percent unemployment rate.

Republicans have staked out a series of changing positions
as they questioned the effectiveness of the tax cut. But their
leaders ultimately saw that blocking the legislation would hurt
them in November’s congressional and presidential elections,
especially as they were protecting tax cuts for the wealthy.

As a result, Republican leaders threw their weight behind
the initiative to get it enacted and then take it off the
political agenda.

After a full year of pushing controversial measures to
reduce government budget deficits that have been topping $1
trillion annually, many Republicans on Friday found themselves
voting for a measure that adds $100 billion to the deficit.

A significant number – 91 of the 242 House Republicans
-abandoned House Speaker John Boehner and voted against the
bill. Only 14 of 47 Senate Republicans voted yes.

In defending the payroll tax cut, which was not offset by
spending cuts or a tax increase on millionaires as Democrats
sought, House Democratic leader Nancy Pelosi turned to a
conventional Republican argument that tax cuts end up paying for
themselves by helping boost economic growth. The payroll tax
cut, Pelosi said, “stimulates the economy by injecting demand
and creating more jobs.”

RARE BIPARTISANSHIP

Friday’s vote also was a rare show of bipartisanship in the
House – one that is not likely to last long – as Democrats and
Republicans are expected to quickly return to bickering over a
major highway funding bill and next year’s budget.

Without the legislation, the 4.2 percent tax workers pay to
fund the Social Security retirement program would have snapped
back to its normal 6.2 percent on March 1. Instead, the average
working family will now have about $1,000 in extra cash this
year, money Obama hopes they will spend to help grow the
economy.

Without this legislation, millions of the long-term
unemployed would have lost benefit checks that help them buy
groceries, gasoline and other basic goods.

Representative Joe Barton of Texas, a Republican member of
the Tea Party Caucus, opposed the bill, saying, “We are taking
money away from the Social Security Trust Fund and we’re
substituting an IOU that may or may not ever be repaid.”

The bill also averts through 2012 a 27 percent cut in
payments to doctors who treat elderly Medicare healthcare
patients.

Republicans won some reforms to the unemployment insurance
program – mainly a cut in the maximum number of jobless benefit
checks, to 73 weeks by year’s end from the current 99 weeks.

The communications industry secured access to more public
airwaves, as selling off these government-owned “spectrum”
rights was a major revenue raising tool to help offset the cost
of the jobless benefits.

But federal workers, a punching bag for small-government Tea
Party movement activists, would take another hit after two years
of pay freezes. Pension benefits for newly-hired workers would
be cut to help pay for some costs of the bill.

“Stop singling them out and making them scapegoats,” said
Democratic Representative Chris Van Hollen, who represents many
federal workers living in suburban Maryland just outside of
Washington, D.C. “They had nothing to do with the financial
meltdown on Wall Street; they are not the drivers of national
debt,” he added.

Had the payroll tax cut and long-term jobless benefits been
allowed to expire on Feb. 29, that would have shaved a 0.7
percent point off of economic growth this year, according to
Moody’s Analytics chief economist Mark Zandi.

The measure represents a victory for President Barack Obama and his fellow Democrats.

At the same time, it allows Republicans to move on from a battle over taxes that divided them and threatened their standing among voters in the November elections.

The Republican-led House of Representatives is set to vote on the measure on Friday and the Democratic-led Senate was expected to act shortly after the House vote.

The package would also renew expiring jobless benefits for millions of long-term unemployed and prevent a steep pay cut for doctors treating elderly Medicare patients.

Congressional passage would clear the way for Obama to sign the $150 billion package into law before February 29, when the tax cut and unemployment benefits are due to expire.

Workers would continue to pay 4.2 percent into the Social Security retirement system, rather that seeing the rate snap back to 6.2 percent. The payroll tax cut gives the average family an extra $1,000 in their pay checks this year.

House Speaker John Boehner, the top U.S. Republican, tried to put a positive spin on the agreement, which was made possible only by a major Republican concession on spending cuts. He called the agreement fair and said it was necessary to counter Obama’s failed economic policies.

“Let’s be honest, this is an economic relief package, not a bill that will grow the economy and create jobs,” Boehner said.

But many House Republicans aligned with the budget-slashing Tea Party movement are upset that Boehner agreed to add $100 billion to the record U.S. deficit by dropping a demand that the tax cut extension be paid for with spending reductions.

‘PARTY OF TAX CUTS’

Senior Democratic and Republican aides predict the deal will win approval with bipartisan support.

“We can’t afford to oppose a tax cut. We are the party of tax cuts,” one Republican aide said.

Most House Democrats are expected to vote for the deal, happy they were able to prevent any cuts in Medicare benefits. They had to accept some paring back of jobless benefits.

The House’s No. 2 Democrat, Steny Hoyer, opposed the deal because of a cost-saving provision requiring federal workers to pay more into their pension plans.

“We must stop targeting these hardworking men and women while not asking others to contribute their fair share,” said Hoyer, who has many federal workers in his Maryland district.

While most congressional leaders backed the accord, Senate Republican leader Mitch McConnell had no immediate comment, his office said. There have been complaints that Senate Republicans had been shut out of negotiations, but Boehner denied this.

House Democratic leader Nancy Pelosi said most Democrats would back the package.

Economists say the tax cut and jobless benefits should give a lift to the U.S. economy, certain to be a key issue in the battle for control of Congress and the White House in November 6 elections.

Allowing the tax cut and jobless benefits to expire would shave 0.7 percentage point off economic growth this year, said Mark Zandi, chief economist at Moody’s Analytics.

The deal reduces the maximum number of weeks for unemployment benefits, which get fully spent into the economy, and that will take about a 0.1 percentage point off growth this year, Zandi told Reuters.

The agreement ends a battle that has raged in Congress for months over the effectiveness of the payroll tax cut in stimulating the economy and extending long-term unemployment benefits amid an 8.3 percent national unemployment rate.

The payroll tax cut has sown division among Republicans, many of whom have questioned its economic benefits, and left the party vulnerable to Democratic attacks that it favors tax cuts for the wealthy but not for middle-class Americans.

(Editing by Mari Milliken and Todd Eastham)

The measure represents a victory for President Barack Obama and his fellow Democrats. At the same time, it allows Republicans to move on from a battle over taxes that divided them and threatened their standing among voters in the November elections.

The Republican-led House of Representatives and the Democratic-led Senate are expected to approve it as early as Friday. The package also would renew expiring jobless benefits for millions of long-term unemployed and prevent a steep pay cut for doctors treating elderly Medicare patients.

Congressional passage would clear the way for Obama to sign the $150 billion package into law before February 29, when the tax cut and unemployment benefits are due to expire.

Workers would continue to pay 4.2 percent into the Social Security retirement system, rather that seeing the rate snap back to 6.2 percent. The payroll tax cut gives the average family an extra $1,000 in their pay checks this year.

House Speaker John Boehner, the top U.S. Republican, tried to put a positive spin on the agreement, which was made possible only by a major Republican concession on spending cuts. He called the agreement fair and said it was necessary to counter Obama’s failed economic policies.

“Let’s be honest, this is an economic relief package, not a bill that will grow the economy and create jobs,” Boehner said.

But many House Republicans aligned with the budget-slashing Tea Party movement are upset that Boehner agreed to add $100 billion to the record U.S. deficit by dropping a demand that the tax cut extension be paid for with spending reductions.

‘PARTY OF TAX CUTS’

Senior Democratic and Republican aides predict that the deal would win approval with bipartisan support.

“We can’t afford to oppose a tax cut. We are the party of tax cuts,” one Republican aide said.

Most House Democrats are expected to vote for the deal, happy they were able to prevent any cuts in Medicare benefits. They had to accept some paring back of jobless benefits.

The House’s No. 2 Democrat, Steny Hoyer, opposed the deal because of a cost-saving provision requiring federal workers to pay more into their pension plans.

“We must stop targeting these hardworking men and women while not asking others to contribute their fair share,” said Hoyer, who has many federal workers in his Maryland district.

While most congressional leaders backed the accord, Senate Republican leader Mitch McConnell had no immediate comment, his office said. There have been complaints that Senate Republicans had been shut out of negotiations, but Boehner denied this.

House Democratic leader Nancy Pelosi said most Democrats would back the package.

Economists say the tax cut and jobless benefits should give a lift to the U.S. economy, certain to be a key issue in the battle for control of Congress and the White House in November 6 elections.

Allowing the tax cut and jobless benefits to expire would shave 0.7 percentage point off economic growth this year, said Mark Zandi, chief economist at Moody’s Analytics.

The deal reduces the maximum number of weeks for unemployment benefits, which get fully spent into the economy, and that will take about a 0.1 percentage point off growth this year, Zandi told Reuters.

The agreement ends a battle that has raged in Congress for months over the effectiveness of the payroll tax cut in stimulating the economy and extending long-term unemployment benefits amid an 8.3 percent national unemployment rate.

The payroll tax cut has sown division among Republicans, many of whom have questioned its economic benefits, and left the party vulnerable to Democratic attacks that it favors tax cuts for the wealthy but not for middle-class Americans.

(Editing by Mari Milliken and Mohammad Zargham)

The agreement represents a victory for President Barack
Obama and his fellow Democrats in Congress, and allows
Republicans to put behind them a battle over taxes that
threatened to hurt them in the November elections.

While negotiators worked to put the accord into legislative
language so it can be brought up for votes in the Republican-led
House of Representatives and Democratic-led Senate this week,
leading members of both parties said it deserves to become law.

House Speaker John Boehner, the top U.S. Republican, said
the agreement reached by congressional negotiators was “fair”
and was needed to counter Obama’s “failed” economic policies.

“Let’s be honest, this is an economic relief package, not a
bill that will grow the economy and create jobs,” Boehner said.

But many House Republicans aligned with the
small-government Tea Party movement are upset that Boehner
agreed to add $100 billion to the record U.S. debt by dropping a
demand that the tax cut extension be paid for with spending
reductions.

House Democratic leader Nancy Pelosi said Democrats would
back the package even though she did not like some of its
cost-saving measures, particularly one that would require
federal workers to pay more into their pensions.

“I don’t see a scenario where our members would vote against
it,” Pelosi said at a news conference.

The accord would also renew expiring jobless benefits for
millions of long-term unemployed and prevent a pay cut for
doctors of elderly Medicare patients. Congressional leaders hope
to pass the legislation and send it to the president before
lawmakers leave for a recess set for next week.

Economists say the tax cut extension and renewal of jobless
benefits should give a lift to the U.S. economy, certain to be a
key issue in the battle for control of Congress and the White
House in Nov. 6 elections.

Congressional leaders announced the deal early Thursday
morning after lengthy, difficult negotiations.

“Everything should not have to be a fight, and I am glad
that most of my Republican colleagues put the interests of the
middle class ahead of politics to forge this agreement,” Senate
Democratic leader Harry Reid said in a statement.

LATE NIGHT

The late night announcement of an agreement by lead
negotiators Senate Finance Committee Chairman Max Baucus, a
Democrat, and House Ways and Means Committee Chairman Dave Camp,
a Republican, capped a long day of political drama.

At one point, the deal seemed in jeopardy just hours after
aides said it had been struck. Democrats complained that Senate
Republicans were suddenly demanding that a new restriction on
physician-owned hospitals had to be eased to gain their support.

Aides said some Democratic negotiators were also reluctant
to sign off on the deal because of cuts in the pensions of
federal workers.

The overarching issue, however, was the proposed extension
for 10 months of the payroll tax cut set to expire on Feb. 29.

Many Republicans had initially balked at the extension while
others insisted that its cost had to be offset by spending cuts
to prevent an increase in the U.S. deficit.

But their positions drew fire from many Republicans who
argued that one of the party’s core principles was advocating
lower taxes and that blocking a tax-cut extension could rile
voters ahead of the November elections.

Boehner and fellow Republican leaders cleared the way for a
deal on Monday when they dropped their demand for spending
reductions to pay for the tax-cut extension.

The payroll tax was first reduced from 6.2 percent to 4.2
percent in the beginning of 2011 at the request of Obama as part
of his bid to stimulate the economy.

The new deal would continue the 4.2 percent rate until the
end of this year, during which it is projected to put an
additional $1,000 in the pockets of the average American working
family.

Analysts said opinion polls showing public disgust with a
gridlocked Congress may have helped drive lawmakers, many of
whom face tough re-election contests, toward a deal.

The accord would also renew expiring jobless benefits for
millions of others and prevent a pay cut for doctors of elderly
Medicare patients.

The comprehensive agreement represents a victory for
President Barack Obama and his fellow Democrats in Congress, and
allows Republicans to put behind them a tax debate that
threatened to hurt them in the November elections.

Economists say the tax cut extension and renewal of jobless
benefits should provide a lift to the U.S. economy, certain to
be a key issue in the battle for control of Congress and the
White House in the run-up to Election Day.

“We have reached an agreement and we’re moving forward,”
Republican Representative Dave Camp, who headed the negotiating
committee, told reporters shortly after midnight EST on
Thursday.

It was not immediately clear when the House of
Representatives and Senate would vote on the deal, but lawmakers
hoped to do so before they leave Friday for a week-long recess.

While congressional leaders announced a deal, they said a
few undisclosed details had to be resolved before the agreement
could be turned into a final bill. They expressed confidence
this would be done quickly.

Senator Max Baucus, a lead Democratic negotiator, said,
“This is very important to a lot of people: 160 million
Americans are now going to maintain their payroll tax cuts (and)
a lot of folks who lost their jobs through no fault of their own
are going to be receiving unemployment benefits.”

Their announcement capped a long day of fits and starts,
political drama and high-level negotiating.

At one point, the deal seemed in jeopardy just hours after
aides said it had been struck by lead negotiators.

Democrats complained that Senate Republicans were suddenly
demanding that a new restriction on physician-owned hospitals
had to be eased to gain their support.

Aides said some Democratic negotiators were also reluctant
to sign off on the deal because of cuts in the pensions of
federal workers.

The overarching issue, however, was the proposed extension
for 10 months of the payroll tax cut set to expire on Feb. 29.

Many Republicans had initially balked at the extension while
others insisted that its cost had to be offset by spending cuts
to prevent an increase in the U.S. deficit.

Their positions drew fire from many fellow Republicans, who
argued that the party had long been for lower taxes and that
blocking a tax-cut extension could rile voters in advance of the
November elections.

House Speaker John Boehner and fellow Republican leaders
cleared the way for a deal on Monday when they dropped their
demand that there be spending reductions to pay for the tax-cut
extension.

The payroll tax was first reduced from 6.2 percent to 4.2
percent in the beginning of 2011 at the request of Obama as part
of his bid to stimulate the economy.

The new deal would continue the 4.2 percent rate until the
end of this year, during which it is projected to put an
additional $1,000 in the pockets of the average American working
family.

Analysts said opinion polls showing public disgust with a
gridlocked Congress may have helped drive lawmakers, many of
whom are up for re-election this year, toward a deal.

“The deal is done,” a top Republican aide said after the main negotiators from both parties worked out their remaining differences. A senior Democratic aide said the top negotiators had finished their work.

The accord still awaits formal approval by a special bipartisan committee composed of members of the Senate and House of Representatives who could seek changes of their own before signing off on it.

Republicans badly wanted to bury the tax-cut issue that has left them divided and at risk of further angering voters, who already hold Congress in low regard, if they are seen as blocking renewal.

“We’re determined to put this to an end,” first-term Republican Representative Renee Ellmers told reporters. One of 20 negotiators on the payroll tax cut, Ellmers said Republicans want to “move on to the real issues: the president’s failed policies.”

Provided the committee members sign off on it, the two chambers will aim to approve the deal by the end of the week, before lawmakers leave for a week-long recess.

House Speaker John Boehner and fellow Republican leaders cleared the way for a deal on Monday when they dropped their demand that there be spending cuts to pay for a reduction in the payroll tax in order to avoid an increase in the federal debt.

The decision showed Boehner’s pragmatic side since his party would have been blamed for any failure to extend the tax cut, which many of his members initially opposed.

Since becoming speaker in January 2011, Boehner has had problems keeping some conservative members in line, particularly those who see deficit reduction as their chief mission.

A number of House Republicans criticized Boehner’s decision on the tax cut, but others said it was needed to protect their constituents against a tax hike.

If Congress approves the tax-cut deal, it could be one of the few major bills that will become law before the November 6 elections when control of the House, Senate and White House will be up for grabs.

The agreement would extend the payroll tax cut, first implemented in 2011 at the request of Obama, until the end of this year for about 160 million U.S. workers.

Passage would end a battle that has raged since last year over legislation that some economists say is vital to keeping the U.S. recovery on track by injecting more consumer spending into the economy.

The payroll tax cut is estimated to put $1,000 in additional money in the hands of the average working family over one year. Extending long-term jobless benefits is seen by economists as one of the most effective ways of encouraging consumer spending as the unemployed use their benefit checks for basic needs.

Congressional Democrats seized the moment to bask in a victory they hope will boost Obama’s November re-election chances just as an improving economy is helping his poll numbers.

Democratic aides described House Republican leaders’ new willingness to let the payroll tax cut be extended and to do so without offsetting spending cuts by saying they had “caved” and “folded.”

Long known as the party of low taxes, Republicans initially fought the payroll tax cut that largely helped low- and middle-income workers, saying temporary tax cuts did little to stimulate the economy.

“MAJOR TURNING POINT”

With economists disagreeing and Democrats simultaneously forcing Republicans to go on record in favor of tax cuts for the wealthy, Republicans found themselves in a losing situation.

As their leaders tried to move into winning territory, it only stoked Republican infighting as conservatives, including Tea Party movement activists, resisted handing Democrats a victory.

Analysts said that opinion polls showing public disgust with a gridlocked Congress may have helped drive lawmakers, many of whom are up for re-election this year, toward a deal.

“A lot of people in Washington, D.C., know that Congress is not enjoying such a great reputation and here’s an opportunity to reach agreement to show that we can get our work done,” said Democratic Senator Max Baucus, one of the negotiators.

Greg Valliere of Potomac Research Group, a private and nonpartisan group that tracks Washington for investors, called the tax deal which also extends unemployment benefits “a major turning point” for the U.S. economy.

“It greatly increases the odds that the economy will continue to expand,” which should give a boost to Obama’s reelection chances, Valliere told clients.

In addition, Valliere said, it drags House Republicans, who include many aligned with what has been seen as a rigid Tea Party movement, “into the world of compromise.”

As evidence, Representative Joe Walsh, a Tea Party activist, has embraced the tentative deal, even though it would add about $100 billion to U.S. budget deficits – something that normally would be anathema to the Tea Party.

(Additional reporting by Donna Smith and David Lawder; Editing by Cynthia Osterman and Christopher Wilson)

“The deal is done,” a top Republican aide said after the main negotiators from both parties worked out their remaining differences. A senior Democratic aide said the top negotiators had finished their work.

The negotiated accord still awaits formal approval, possibly later in the day, by a special bipartisan committee composed of members of the Senate and House of Representatives.

The two chambers are expected to approve the deal by Friday, before lawmakers leave for a week-long recess.

The agreement would extend the payroll tax cut, first implemented in 2011 at the request of President Barack Obama, until the end of this year for about 160 million U.S. workers.

Passage would end a battle that has raged since last year over legislation that some economists say is vital to keeping the U.S. recovery on track by injecting up to $130 billion into the economy through consumer spending.

With the 2012 presidential and congressional campaigns heating up in the run-up to the November 6 elections, Republicans badly wanted to bury an issue that has left them divided and at risk of angering voters if they continued to be perceived as trying to kill the payroll tax cut.

“We’re determined to put this to an end,” first-term Republican Representative Renee Ellmers told reporters. One of 20 negotiators on the payroll tax cut legislation, Ellmers said Republicans now want to “move on to the real issues: the president’s failed policies.”

Congressional Democrats seized the moment to bask in a victory they hope will boost Obama’s November re-election chances just as an improving economy is helping his poll numbers. Democratic aides described House Republican leaders’ new willingness to let the payroll tax cut be extended and to do so without offsetting spending cuts by saying they had “caved” and “folded.”

Long known as the party of low taxes, Republicans initially fought the payroll tax cut that largely helped low- and middle-income workers, saying temporary tax cuts did little to stimulate the economy.

“MAJOR TURNING POINT”

But with economists disagreeing and Democrats simultaneously forcing Republicans to go on record in favor of tax cuts for the wealthy, Republicans found themselves in a losing situation.

As their leaders tried to move into winning territory, it only stoked Republican infighting as conservatives, including Tea Party movement activists, resisted handing Democrats a victory.

Greg Valliere of Potomac Research Group, a private group that tracks Washington for investors, called the tax deal which also extends unemployment benefits “a major turning point” for the U.S. economy.

“It greatly increases the odds that the economy will continue to expand,” which should give a boost to Obama’s reelection chances, Valliere told clients.

In addition, Valliere said, it drags House Republicans, who include many aligned with what has been seen as a rigid Tea Party movement, “into the world of compromise.”

As evidence, Representative Joe Walsh, a Tea Party activist, has embraced the tentative deal, even though it would add about $100 billion to U.S. budget deficits – something that normally would be anathema to the Tea Party.

Analysts said that opinion polls showing public disgust with a gridlocked Congress may have helped drive lawmakers, many of whom are up for re-election this year, toward a deal.

“A lot of people in Washington, D.C., know that Congress is not enjoying such a great reputation and here’s an opportunity to reach agreement to show that we can get our work done,” said Democratic Senator Max Baucus, one of the negotiators.

(Additional reporting by Donna Smith and David Lawder; Editing by Cynthia Osterman)

If no last-minute problems arise, the House of
Representatives and Senate were expected to vote by the end of
this week to extend President Barack Obama’s tax cut for 160
million workers through Dec. 31.

Passage would end a battle that has raged since last year
over legislation that some economists say is vital to keeping
the U.S. recovery on track by injecting about $130 billion into
the economy through consumer spending.

With the 2012 presidential and congressional campaigns
heating up in the run-up to the Nov. 6 elections, Republicans
badly wanted to bury an issue that has left them divided and at
risk of angering voters if they continued to be perceived as
trying to kill the payroll tax cut.

“We’re determined to put this to an end,” first-term
Republican Representative Renee Ellmers told reporters. One of
20 negotiators on the payroll tax cut legislation, Ellmers said
Republicans now want to “move on to the real issues: the
president’s failed policies.”

Congressional Democrats seized the moment to bask in a
victory that they hope will boost Obama’s November re-election
chances just as an improving economy is helping his poll
numbers. Democratic aides described House Republican leaders’
new willingness to let the payroll tax cut be extended and to do
so without offsetting spending cuts by saying they had “caved”
and “folded.”

Long known as the party of low taxes, Republicans initially
fought the payroll tax cut that largely helped low- and
middle-income workers, saying temporary tax cuts did little to
stimulate the economy.

But with economists disagreeing and Democrats simultaneously
forcing Republicans to go on record in favor of tax cuts for the
wealthy, Republicans found themselves in a losing situation. As
their leaders tried to move into winning territory, it only
stoked Republican infighting as conservatives, including Tea
Party activists, resisted handing Democrats a victory.

Greg Valliere of Potomac Research Group, a private group
that tracks Washington for investors, called the tax deal which
also extends unemployment benefits “a major turning point” for
the U.S. economy.

“It greatly increases the odds that the economy will
continue to expand,” which should give a boost to Obama’s
reelection chances, Valliere told clients.

In addition, Valliere said, it drags House Republicans, who
include many aligned with what has been seen as a rigid Tea
Party movement, “into the world of compromise.”

As evidence, Representative Joe Walsh, a Tea Party activist,
has embraced the tentative deal, even though it would add about
$100 billion to U.S. budget deficits – something that normally
would be anathema to the Tea Party.

Analysts said that opinion polls showing public disgust with
a gridlocked Congress may have helped drive lawmakers, many of
whom are up for re-election this year, toward a deal.

“A lot of people in Washington, D.C., know that Congress is
not enjoying such a great reputation and here’s an opportunity
to reach agreement to show that we can get our work done,” said
Democratic Senator Max Baucus, one of the negotiators.