(Image source: Bloomberg  and MLive)

BY HARUMENDHAH HELMY AND ZACH TOOMBS

Leaders of an infamously divided U.S. Congress came to a major agreement on a payroll tax cut extension Thursday morning. CNBC reports.

“Congressional leaders announcing a bipartisan payroll tax cut deal early this morning. Under the agreement, a payroll tax cut for $160 million Americans would be extended through December.”

Also part of the deal — an extension of jobless benefits for the long-term unemployed. Congress’ top two tax writers — Republican Rep. Dave Camp and Democratic Sen. Max Baucus — announced the deal after meeting early Thursday morning. Fox News has that video.

CAMP: “Senator Baucus and I are here to say we have reached an agreement.”

BAUCUS: “This is very important for a lot of people. 150 million Americans are now going to maintain their payroll tax cut.”

An editorial in The New York Times says the deal is good enough for now... especially for Democrats.

“There’s nothing like a deadline — and the prospect of acute political embarrassment — to concentrate the mind. … The agreement is imperfect but sound. … It is also a political win for Democrats and President Obama, who had made extending the payroll tax cut and the jobless benefits a centerpiece of his jobs agenda.”

But as the Associated Press points out — the GOP might also claim a victory by preventing the other side from portraying the party as anti-middle class. Still — a writer for Forbes says the deal is just borrowed money and borrowed time. He says Congress will have to borrow $100 billion to implement the temporary tax cut.

“This wouldn’t bother me if I thought the payroll tax cut was really going to expire in 10 months. But I don’t. Given the Democrats’ politically successful claim that allowing the tax break to expire was akin to a tax increase, it is hard to imagine them abandoning the provision–or the issue– anytime soon.”

And POLITICO notes, although details of the deal are scarce, Baucus and Camp must have overcome steep obstacles to reach an agreement.

“...spectrum auctions, cuts to an Obama health care program and requirements that federal workers pay more into retirement benefits — all issues that provoked controversy Wednesday. But the $100 billion cost of the payroll tax cut would be added to the budget deficit, a significant concession by GOP leaders that has provoked opposition on the right.”

No word yet on when Congress will vote on the deal. For all your political headlines, follow @NewsyVideos.