Senate rationality

I can't believe I'm saying this, but as far as I can tell, the Senate passed a rational tax cut bill. The bill passed today provided tax cuts to rebuild areas devastated by hurricane Katrina, increases in incentives for charitable giving, a temporary stay for the middle class from the Alternative Minimum Tax and a rejection of windfall profit taxes on oil companies (while at the same time increasing taxes by changing how oil reserves are taxed). However, in its current state, without extending the 15 percent tax rate on dividends and capital gains still included in the House version, now out of committee, there looks to be a fight with the House. The Senate version should trump the House version because with record deficits, no more tax cuts should be extended to the rich, the primary beneficiaries of the continuation of the lower dividend and capital gains tax cuts. More on this later if there are hidden handouts the Reuters article missed.