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Senate leaders agree on rebates for seniors, disabled veterans

WASHINGTON -- Senate Republicans and Democrats agreed Thursdsay to add rebates for 20 million seniors and 250,000 disabled veterans to a House-passed economic aid package, ending a partisan stalemate over the plan.

The key breakthrough came when Democrats, under pressure from party colleagues in the House, agreed to drop their insistence on adding jobless benefits, heating aid for the poor and business subsidies, and said they would allow a vote on a plan that merely extends the tax rebates to Social Security retirees and disabled veterans.

The package would rush tax rebates of up to $600 for individuals and up to $1,200 for couples to most taxpayers and grant businesses tax cuts in hopes of reviving the economy.