Congress is back in session after the summer recess and the political wrangling is already getting heated.
The main issue of the day is tax cuts.
President Obama went to a Northern Virginia suburb for a neighborhood talk with small business owners that turned to tax cuts.
"We're still in this wrestling match with John Boehner and Mitch McConnell,” says Obama.
The President's trying to keep up the pressure on Congress as the election year debate heats up.
On the Senate floor Monday, the Republican leader said he has the votes to block the president's plan that extend only "some" Bush-era tax cuts.
Democrats don't want extensions for families making more than $250,000 and individuals making more than $200,000.
Senator Mitch McConnell said the deal can only pass the Senate if the cuts are extended for everybody.
“I'm introducing legislation today that ensures that no one in this country will pay higher income taxes next year than they are right now,” says Minority Leader Senator Mitch McConnell
If lawmakers do nothing, then all the tax cuts will expire and everyone will have to pay more. So over the weekend, the top Republican in the House signaled he might be open to a compromise.
"If the only option I have is to vote for some of those tax reductions, I'll vote for them," says (R) Ohio Representative John Boehner.
The political stakes are huge.
Democrats are nervous about voting for a measure Republicans call a massive tax hike. But the president and his allies charge Republicans are putting the wealthy ahead of the middle class.
Capitol Hill debate on the extension could start this month. But a final vote may get delayed until after the elections.