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Senate Approves 10-Year Tax Cut of $1.3 Trillion.

The Dallas Morning News (Dallas, TX)

| April 07, 2001 | This material is published under license from the publisher through the Gale Group, Farmington Hills, Michigan. All inquiries regarding rights should be directed to the Gale Group. (Hide copyright information)Copyright

Byline: Robert Dodge

Apr. 7--WASHINGTON -- President Bush suffered a setback Friday in his push to cut taxes, a stumble analysts said is likely to have far-reaching affects on his ability to win approval of other major initiatives.

The Senate voted 65-35 to approve a budget blueprint for fiscal 2002 that provides for a 10-year tax cut of $1.289 trillion. While the budget resolution was supported by 15 Democrats, it was about $300 billion short of the $1.6 trillion the president said he wanted for tax cuts.

"There is not any doubt that it is a political body blow for the White House," said Stan Collender, a budget analyst for the public affairs firm of Fleishman-Hillard Inc.

And Greg Valliere, a managing director at Schwab Washington Research, added: "This is a clear signal that Bush will not be able to get what he wants. He will have to reach some sort of compromise."

Mr. Bush, along with Senate Republican…

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