* Signs of headway in talks, but deal still uncertain
* Boehner urges Obama to put forward spending cuts
* White House says Republicans not specific on revenues
* Reid says difficult to do deal by Christmas
WASHINGTON, Dec 11 (Reuters) - President Barack Obama and
U.S. House of Representatives Speaker John Boehner spoke by
phone on Tuesday after exchanging new proposals to avert the
"fiscal cliff" as negotiations intensified ahead of the
end-of-year deadline.
The conversation and exchange of counteroffers over the last
two days are the latest sign of possible progress in efforts to
avert the automatic steep tax hikes and spending cuts set for
Jan. 1 unless Congress intervenes.
White House and congressional aides confirmed that Obama
sent Boehner a revised offer in the talks on Monday, and Boehner
responded with a counterproposal on Tuesday. But neither side
offered any details.
After getting the new offer, Boehner took to the House floor
on Tuesday to urge Obama to give more details on the spending
cuts the White House would accept in any final deal.
"We're still waiting for the White House to identify what
spending cuts the president is willing to make as part of the
balanced approach that he promised the American people," Boehner
said.
The White House fired back that the administration had
submitted extensive proposals to reduce spending but Republicans
had not offered specifics on increasing revenues.
"There is a deal out there that's possible," White House
spokesman Jay Carney told reporters. It could include reduced
spending, more revenues and tax reform as long as Republicans
accepted higher tax rates on the wealthiest Americans, he said.
"We do believe the parameters of a compromise are pretty
clear," Carney said.
Obama and Boehner have each proposed cutting deficits by
more than $4 trillion over the next 10 years, but they differ on
how to get there. Economists have warned that failure to strike
a deal could send the economy back into a recession.
Obama and Democrats demand that tax rates rise for the
wealthiest 2 percent of Americans. Republicans want existing
lower rates continued for all brackets and prefer to raise more
revenue by eliminating tax loopholes and reducing deductions.
Republicans also want deeper spending cuts than those sought
by Obama and fellow Democrats, particularly on social
entitlement programs like the government-funded Medicare and
Medicaid healthcare plans.
"I'm an optimist. I'm hopeful we can reach an agreement,"
Boehner said during his speech on the House floor.
But Senate Democratic leader Harry Reid said it would be
difficult to reach an agreement before Christmas.
"Until we hear something from Republicans, there's nothing
to draft," Reid told reporters, referring to writing legislation
based on a deal. "It's going to be extremely difficult to get it
done before Christmas."
Boehner spokesman Michael Steel said the counteroffer from
Boehner would achieve tax and entitlement reforms that would
solve the looming debt crisis, but he offered no more details.