Jeffries rejects possible one-year extension on Obamacare tax subsidies amid funding showdown

House Minority Leader Hakeem Jeffries on Tuesday appeared to strongly reject a possible compromise that could reopen the federal government, stating that a one-year extension on Obamacare tax credits was a "laughable proposition." 

Virginia GOP Rep. Jen Kiggans is reportedly floating the one-year extension on Affordable Care Act (ACA) subsidies as a possible starting point for negotiations on reopening the government, which has been shut down since last week. 

The current tax credits on Obamacare subsidies will expire on January 1, but Kiggans is proposing delaying the expiration until the end of 2026. Democrats, however, are seeking permanent extensions of the ACA tax credits because Republicans permanently extended tax cuts for the wealthy earlier this year, per The Hill. 

“What world are these MAGA extremists living in right now to think that Democrats are going to go along with a one-year extension from a group of people ... who just permanently extended massive tax breaks for their billionaire donors?” Jeffries told reporters. “It’s a laughable proposition. It makes no sense.

“The Democratic position has been clear: Permanent extension, and let’s go from there," he added.

House Speaker Mike Johnson has implored Democrats to allow discussions on extending the tax credits to take place after the government is reopened, insisting the issue should be resolved by Dec. 31 and not before the government is back up and running. 

If the tax credits do expire as scheduled in January, it is expected to cause health care costs to increase for millions of Americans. 

Misty Severi is a news reporter for Just The News. You can follow her on X for more coverage.