GOP ponders tax options for debt 'supercommittee'

By ANDREW TAYLOR | November 8, 2011 | 10:55 AM EST

WASHINGTON (AP) — Capitol Hill Republicans say the GOP members of a deficit "supercommittee" are showing flexibility on revenue hikes as the panel heads closer to its Thanksgiving deadline.

GOP aides say that among the options floated by Republicans is one that would place limits on the total amount of tax deductions and credits that individuals could claim, in exchange for lower income tax rates. The tradeoff could net hundreds of billions of dollars for the Treasury over the coming decade.

The idea, discussed by Pennsylvania GOP Sen. Pat Toomey in talks with Montana Democratic Sen. Max Baucus, is but one of many options on the table.

A Democratic aide discounted the GOP idea as not serious and not moving far enough in Democrats' direction.

The aides required anonymity to discuss the negotiations.