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Senate Minority Leader Mitch McConnell said the compromise was an "imperfect agreement" that will keep tax hikes from affecting most Americans. He also thanked Vice President Biden, who worked with Senate leaders to craft the deal.
"We've taken care of the revenue side of this debate. Now it's time to get serious about Washington's out-of-control spending. That's a debate the American people want, it's the debate we'll have next and it's a debate Republicans are ready for," McConnell said.
Senate Majority Leader Harry Reid thanked McConnell for his hard work on the compromise deal and urged House members to follow the Senate's bipartisan action.
"I hope the new year will bring a new willingness on the part of the House Republicans to join Democrats in the difficult but rewarding work of governing," Reid said.
Even as U.S. leaders wrangled over the tax and spending issues, they soon face a decision whether to increase the country's borrowing limit, which hit its current $16.4 trillion cap on Monday. Officials say the country will be able to pay its bills for another two months, but by then will need to increase the debt ceiling, an action likely to spark another extended debate over Washington's spending priorities.