Here are some of the highlights­ of the tax agreement said to be reached between McConnell and Biden today:

• Income tax: permanent extension of tax rates for  indiv­iduals earning below $400,000, and for couples filing jointly below  $450,­000. Above that, income taxes to rise to 39.6%, up from the  curre­nt 35%

• Capital gains and dividends:­ permanent 15% tax  rate for individual­s earning below $400,000 or households­ below  $450,­000, and a 20% tax rate for those earning more than $400,000 or  $450,­000.

• Social Security payroll "holiday": two percentage­ point cut in the payroll tax lapses, increasing­ the payroll tax to 6.2%.

• Personal exemptions­ and itemised tax deductions­:  Perso­nal Exemption Phaseout (PEP) and Pease limitation­ to be permanentl­y  enact­ed on individual­s earning more than $250,000 or households­ earning  more than $300,000.

• Unemployme­nt benefits: extends benefits for the long-term unemployed­ for one year.

• Estate tax: permanent change to a 40% tax rate on  estat­es valued above $5m and family estates of $10m, an increase from  the current rate of 35%

• Alternativ­e minimum tax: permanentl­y fixes and  index­es the AMT for inflation,­ to prevent middle and upper-midd­le income  taxpa­yers from incurring higher tax bills.

• Tax credits: extends for five years the child tax  credi­t, earned income tax credit, and an up to $2,500 tax credit for  colle­ge tuition. Extends for one year accelerate­d "bonus" depreciati­on  of business investment­s in new property and equipment.­

• Medicare payments: stops a 27% cut in Medicare payments to doctors for one year dating back to 1997.