The Post said administration officials believed the economy could use further stimulus despite signs of improvement and were looking at a new tax reduction that could add hundreds of dollars to employees’ annual pay and show up in every paycheck.
Earnest said the report was incorrect.
“The administration is not contemplating at this time a tax cut as described in the Post,” Earnest told reporters. “I’m not trying to be clever. I’m trying to be as clear as I can.”
A White House official told Reuters on Friday evening that the House of Representatives first needed to follow the Senate’s lead and renew the payroll tax cuts first implemented in 2011 at Obama’s request to provide an economic cushion.