(Corrects current tax rate to 35 percent from 36 percent)
WASHINGTON Dec 16 House of Representatives
Speaker John Boehner's latest "fiscal cliff" proposal to
President Barack Obama would see the top income tax rates rise
to 39.6 percent from 35 percent for those with net incomes above
$1 million a year, according to a source familiar with the
The source, who asked not to be identified, emphasized that
the income tax rate increase would be in exchange for
"significant entitlement reforms/spending cuts." Entitlement
programs include Medicare and Medicaid healthcare for the
elderly and poor and Social Security retirement benefits.
The White House has not accepted Boehner's proposal,
according to another source. Under current law, the top tax rate
is scheduled to rise to 39.6 percent on Jan. 1, unless Congress
extends the current 35 percent, as Republicans had been urging.
(Reporting By Richard Cowan; editing by Philip Barbara)