In the final hours of the New Year's first day, by a vote of 257-to-167, the U.S. House of Representatives approved a compromise measure raising tax rates on income over $400,000 for individuals and $450,000 for jointly-filing couples, thus averting the fiscal cliff. Here is the latest from ABC NEWS (1:10)...

This is the same bill that passed the Senate, 89-to-eight, early Tuesday morning (1/1/2013). It took the rest of the day to smooth the edges and muster support to pass the bill. 

Technically, the nation went over the fiscal cliff after midnight but the action by the Senate and House leaves the Bush-era tax breaks intact for nearly all wage earners.

The measure passed by Congress also puts a two-month hold on deep spending cuts known as sequestration that were due to take effect immediately. President Obama is expected to sign the measure as soon as it reaches his desk.