In new 'cliff' bid, Obama seeks $1.2 trln in revenue - source

WASHINGTON, Dec 17 (Reuters) - In a fresh offer aimed at resolving the "fiscal cliff" standoff, President Barack Obama seeks $1.2 trillion from higher tax revenues, including higher rates on those earning more than $400,000 a year, a source familiar with the negotiations said on Monday.

In exchange, the president is willing to agree to $1.22 trillion in spending reductions, including some cuts achieved by changing the way cost of living adjustments are made to Social Security and other programs.

"We view this as a good offer that shows we have met the Republicans more than halfway on spending and halfway on revenues," the source said.

The offer asks for Congress to increase the national borrowing ceiling for two years using a parliamentary procedure proposed by Senator Mitch McConnell, the top Republican in that chamber.