WASHINGTON (Reuters) - Senate Republican Leader Mitch McConnell said on Sunday that Congress will somehow reach an agreement to renew a popular payroll tax cut set to expire at the end of this month.
"Of course, it has bipartisan support," McConnell told "Fox News Sunday" when asked if the tax break would be extended.
It remained unclear how Congress would do it.
The Republican-led House of Representatives is expected to approve a plan as early as Tuesday to extend the tax cut, tying it to a bid to accelerate approval of TransCanada Corp's Keystone XL pipeline project between the United States and Canada.
Senate Democratic Leader Harry Reid has said the plan would be rejected by his chamber because of the Keystone provision that has drawn a White House veto threat.
McConnell did not suggest how common ground would be found but rejected any notion that millions of Americans may soon be hit with a tax increase if the tax cut expires.
"That isn't going to happen," McConnell said. "Obviously we're going to reach an agreement."
(Reporting by Thomas Ferraro and Andy Sullivan; editing by Bill Trott)